Four Things To Consider When Joining A Software Development Outsourcing Tender

Large-scale industries and governmental organizations are constantly searching for new vendors and partners. And many organizations find fitting service providers through tendering. At the same time, by joining a tender, a service provider gets the chance to win a contract for an innovative or challenging project.

Though tendering may seem challenging and daunting for software outsourcing companies who have never dealt with it, winning the right bid can transform your emerging business.

In this article, I want to share my company’s experience participating in software development tenders hosted by various organizations.

How You Can Take Part In A Tender

There are several ways an IT outsourcing company can take part in a tender.

• Receive a request for proposal (RFP) directly from a company seeking vendors or from a partnership program that assists such companies

• Establish contacts with procurement consultants who deal with organizations of interest

• Search for RFPs for large projects from major market players on online bid posting platforms

• Visit official websites of government institutions that open tenders within the procurement procedure

Requests for proposals can be public, private or closed, depending on the organization posting them.

Government organizations are a subject of public procurement practices, so they issue public RFPs. Public entities usually have requirements and limitations regarding the providers they can cooperate with, so it’s best to consult tender advisors who are familiar with them. For instance, a public company may require service providers to be located in a particular area or possess specific certifications.

Private businesses and non-public organizations may place closed RFPs on their websites or social media profiles (rarely on bid platforms), or they might not post their RFPs at all. They may prefer sending a call for bids to a procurement company or directly to a selected group of potential vendors.

Private organizations also have their requirements for suppliers. For instance, to submit a proposal to a large company, you usually need to spend some time registering with the company’s procurement managers to be verified and added to the approved supplier list. Midsized companies may have simplified tendering procedures, allowing you to arrange meetings to provide project evaluations, such as for the budget and timeline.

What To Consider When Participating In A Tender

With more than 20 years of experience with various tenders, my company has come up with several principles we always follow when taking part in a tender

• Provide the exact information you are asked for.

For vendors, strictly meeting tender requirements is a must. Find out precisely what information you have to provide and how it should be provided. Usually, you have to fill out a standard request form, but make sure to check for additional documents and conditions. Make a presentation about your company if it’s required. But if tender rules ask for a three-year project plan, work on project estimation first. Then, you can attach a presentation with additional information about your company.

• Focusing on the value you can deliver increases your chances of making a winning proposal.

Tender initiators have different criteria for vendors. Some are limited in budget and look for the best proposal at the best price. Others strive to solve challenging tasks, so your first step to winning the bid would be presenting the most relevant solution. In any case, when my company works on a proposal, we always focus on how we can help our future partner improve their business value. This approach allows us to meet clients’ requirements while avoiding budget overruns.

• Information about your company is equally as important as your proposal.

Make a well-prepared company profile to prove your reliability. Be ready to provide data on your company’s structure or business activity, including financial reports. Verify that all your certifications are valid at the time of sending the tender proposal. A competent outsourcing provider has a stable company structure, a transparent financial history and its own mature development processes.

• Let your experts dedicate enough time for tender participation.

Participating in a tender is a tedious and time-consuming process requiring the utmost attention. Allocate a separate expert team that can dedicate all their time and efforts to preparing and submitting the proposal and other documents by the required deadline. Also, only the availability of mature and sufficient expertise on the project’s subject can ensure an outsourcing provider will deliver the best quality of services. That’s why, when taking part in tenders, we always involve our software development experts either in creating the project solution or evaluating the project.

Tenders can be great stimulators for your business. Winning a bid can bring you a stable partnership and business growth. Losing a bid can be a chance for your business to revise its bidding strategy and improve. Either way, remember that this is a long game into which you need to invest much time and many resources before reaping the fruits of victory.

Looking to hire skilled software developers? Contact TP&P Technology - Leading Software Outsourcing Company in Vietnam Today

Article resource: https://www.forbes.com/sites/forbestechcouncil/2023/01/02/four-things-to-consider-when-joining-a-software-development-outsourcing-tender/?sh=13dbf7a75818