From logistics projects to transport orders, tenders often need to be submitted when you have a huge project that needs handling. When firms have submitted their tender response, you now need to analyze them to determine what company is right for you. This is a critical part of the process for you and your procurement team. Ensure your team has all of the necessary skills – you may require a legal expert, for instance, and you will definitely need a purchasing, technical, and financial expert.
So, let’s begin with the financial side of the tender response. You need to ensure that all costs are covered correctly in the prices that are offered by the logistics companies that have made a bid. This includes everything from labor costs to the cost of materials and shipping materials, which Delta Mark provides supplies for. Terms of payment should be included, as well as the identification of retentions, discounts where appropriate, extra costs, and any price escalation formulae should be accurate. If all bids exceed the cost you estimated, you have an important decision on your hands. Should you abandon the process and start the exercise again? Or, should you reappraise the estimate?
Technical members of your business team will need to carry out the technical assessment part of all companies’ tender responses. Any alternatives or modifications provided will need to be assessed on an individual basis to see whether they are more cost-effective or not. If you provided a detailed specification originally, make sure that all of the details add up. Next, a capacity assessment needs to be carried out, which will determine the bidders’ capability to perform in accordance with the contract. Transparency needs to be maintained throughout the process, and there needs to be a clear and documented audit trail.
The Local Advantage
While there are a lot of reputable logistics companies all over the country and the world, it can really pay to go for companies that have local offices and points of contact, and below we reveal the different reasons why.
One of the main benefits that are associated with hiring firms with a local office is the fact that you will be able to have one-on-one interaction prior to the project starting. You will have the ability to meet up with those who are going to be carrying out the logistics project, which will make it a lot easier to iron out any issues or specifics before the work progresses.
It is also more cost-effective to go down this route. Work hours will be maximized and travel time will be minimized for project meet-ups and conferences. Logistics companies with local offices are also able to respond to your problems more quickly. If something goes wrong after completion, you will be able to get the issue dealt with much quicker.
Hopefully, you now feel more prepared to choose the best logistics company for the job and evaluate their tender effectively. This should help your project to go as smoothly as possible.