Procurement and Tendering

Question 1

What is the difference between procurement and tendering?

Answer 1

Procurement is the overall process of obtaining goods and services and the strategy on how these will be acquired.

Tendering is a specific part of the procurement process where tenderers are invited to bid for the works.

Question 2

What are the main procurement routes?

Answer 2

Traditional
Design and Build
Management Contracting
Construction Management

Question 3

What are the different tendering strategies available?

Answer 3

Single stage - tender docs issued to multiple tenderers to bid for the works.
Two stage - tender docs issued based on outline design and tenderers bid to be preferred contractor and enter into PCSA to develop design further and enter into contract.
Negotiated - client directly invites single contractor to submit a tender for the works.