Compare and contrast the implications on the bid preparation of concepts of 'best value' and 'partnering'

Essay by DanzielUniversity, Master'sB, July 2005

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As we know, contract bidding is an expensive process for both clients and contractors, especially when many bidders are involved. To the clients, the costs beget in screening and analyzing the bids tendered, whereas to the contractors, the costs beget in bid preparation and submission. Bidders have to recover the costs associated with every unsuccessful bid through the increase of subsequent bid prices, for contracts are awarded to only one contractor normally.

Every organization will have its own ideas on the structure and philosophy behind the bid strategy and the way manage bids, and almost every organizations goes through stages where it either needs to improve existing business processes or introduce new ones. In many ways, what a better approach should concerns is the continual improvement without having to make widespread and radical changes in your opinion.

The bid process in the business projects defines the set of tasks that takes the bid organizations from first receiving information, through some linked actions onto delivery of the bid and beyond.

For the bidding organizations, according to Tweedley, in beginning the redesign you need to establish some baseline objectives. First, you have to decide what it is you are trying to achieve by reorganizing or setting up a bid process. Then you need to understand the way in which your organization does things now. Only then can you look at ways to improve or carry out an effective bid management process. In the meantime, Tweedley believed that the principal aims for the bid process will centre on ways of improving how things are done in the bid organization. (Tweedley 1995)

In order to prevent wasted effort in preparing bids and to avoid the consequent potential risk, it is common practice to select and invite some useful and effective management strategy and...