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Strategic Tendering – Main Elements (1)
> Spend analytics + TCO > Stakeholders > Technology / Service review > Demand aggregation (politics !!!!) > Category Manager ??? > Upside vs. Downside (make the case) > Outline Business Case “Profile” the Category Pillar 1 2 Supply Market Analysis RFI / PQQ RFP ITT > Which suppliers are available? > Porter’s 5 Forces – understand market dynamics Pillar 2 3 > Stakeholder engagement and ongoing management Develop the Strategy > Timing – when ? > Porter’s 5 Forces – understand market dynamics > Form cross-functional team Pillar 3
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Strategic Tendering – Main Elements (2)
4 > Specify !!!!) > Legal Terms > Financial terms + “pricing strategy” Select the Sourcing Process > Tactical ?? Strategic ?? > Tender or Negotiate ?? > Single Tender / Competitive Tender ? Pillar 4 5 > Stakeholder buy-in > Business Case > Business approvals (delegated authorities) > Post-tender negotiation ? > Thin-out the field !! > Q&A process > Cross-functional team input Negotiate and select Pillars 4 6 Implement and Integrate > What point do we enter into a contract ? (plan) > What point do we tell unsuccessful bidders ? > Internal / External communications > Do we have an “incumbent” supplier to “manage out”? Pillar 5 to 7
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Strategic Tendering – Main Elements (3)
7 Bench-mark and “track” results (“Benefits Realization”) > Supplier Management > Tender = Contract (Contract Management Process / Mobilization) > Bench-marking ?? > Contract Management Plan (“CMP”) > Progress reporting Pillar 5 to 7
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