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What relations should there be between Procurement Department and Tendering Department?
Whilst many organisations keep the two disciplines apart to avoid conflict of interest, it is essential that the disciplines of Procurement and Tendering are part of the same dynamic. All customers wish to receive value for money from the bids that they receive and require both Technical and Compliance with their Invitations to Tender (ITT).
One important criteria is delivery. Not just by being on time with the delivery of products and services but with compliance to performance. In other words delivering the requirements of the ITT and subsequent contract. It is essential therefore that when bidding for an opportunity the Bidding organisation should ensure that the Procurement department can secure performance from the suppliers to enable the Tendering organisation to proceed with confidence that the company can “deliver” a compliant bid to the customer/client.
The Tendering department should ensure that the Commercial terms and conditions and Technical requirements are flowed down from the ITT documents to the Procurement department to enable them to advise suppliers precisely what is expected. Responses to the procurement ITTs need to be analysed in detail to ensure that they meet with the requirements of the Tendering department and therefore those of the customer/client.
Tender Started when we have a decide on the service that we want to purchase, and a specification has been created the next stage (grade).
Then procurement department Transfer all documents and the order to tender department when goods or services that want to purchase it have big budget, big project, or have decide to purchase it by next grade (Tender)
Procurement department son of Tender department
Tender department responsibility to prepare packages(drawings,specification, B.O.Q,....) for items which need to quotations and send it to procurement department whose responsible to send this packages to suppliers so as to get the best offer for the subject tender.
Agree with the reply added by Malcolm Appleton
Procurement means the purchase of goods or services by a public sector organisation from another, external organisation. The procurement department ‘score’ the pre-qualifying questionnaires (PQQs) and tender documents to ensure that the best provider is awarded the contract, and the services are good value for money and of the required quality.
Pre-qualifying questionnaire (PQQ); often the first stage which scores your organisation for risk; the questions are designed to allow the procurement to decide whether your organisation is one they can contract with. Recent legislation requires that the purchaser provides the full scoring criteria and feedback.
Invitation to Tender (ITT); usually where you have been successful in the PQQ stage; questions will be more specific to the specification and designed to test your capacity and capability to deliver the services required.
Once the tender department finalizes the the quantity verification of bill of quantities as per the tender drawings and specifications they need rates for the items to quote. who will give all these rates, its obviously the procurement department. So guess how significant the procurement department in tender stages.
