What is a

1
What is a Request for Tender?

• Typically a large and detailed document - often
  30 pages
• Describes the companys organisational structure,
  historical/developmental context and current
  operational capabilities
• Lists the tools, human and technical, required
  for the implementation of the work
• Details the support/work required

2
Reasons for a RFT

• Prime objective is to ensure the best possible
  value for money
• Maintain ethical standards of practice - avoid
  allegations of nepotism(jobs for the boys) by
  justifying the selection of supplier via
  objective criteria
• Client uses the tender as a filtering process -
  to qualify possible contractors

3
Structure of the RFT

• Title page - include your company name (i.e.
  MSC), the support/work required (i.e.the
  implementation of an integrated information
  system)and the date of your request
• Invitation/Introduction - a brief description of
  the support required
• Background - eg a description of the company/
  industry, historical context, competitors, the
  decision-makers and their responsibilities,
  current operational processes and the human and
  technical resources that might be available to
  the prospective contractor, etc

4
Structure of RFT (contd )

• Goals/Objectives - might include a mission
  statement or a summary statement of the project,
  the basic goals of the project, details of
  schedule requirements, etc
• Scope of Support Requirements - specifies the
  services, products and support required eg
  design, installation and maintenance of
  information system, the staff required and their
  level of experience, skill and expertise,
  response timelines to errors/failures in the
  system etc.

5
Structure of RFT (contd )

• Evaluation Criteria - a detailed list of the
  particular criteria tendering companies are
  required to meet, the level required and the
  weighting (priority value) of each of the
  criteria
• Examples- familiarity with specific
  hardware/software/system - ability to provide
  system maintenance and support - financial
  security and stability of the tendering company-
  particular communication skills eg conflict
  management- existing risk minimisation
  strategies etc.

6
Structure of RFT (contd)

• Contractual Conditions/Arrangements depends on
  specific requirements of the tender but may
  include - the execution of formal agreement, -
  payment arrangements such as invoicing and
  payment, - financial information disclosure in
  order to demonstrate financial capability to
  participate in the agreement, - service level
  reporting to ensure all information and records
  are efficiently maintained, - confidentiality
  statements etc.
• Details about the lodgement of Tender contact
  details, closing date, enquiries etc.

7
Structure of RFT (contd)

• References - the tendering organisation is
  requested to supply references to testify to
  their financial and professional standing
• Additional Information to be Provided - this
  might include details of the tendering companys
  structure, disclosure of any potential conflict
  of interest and any current litigation
  proceedings against the tendering company

8
Example

• An example of a request for tender for system
  development and maintenance services has been
  placed on the subject web site, together with a
  description of the system
• They are very long and detailed documents. Dont
  get lost in the detail! Skim read them to get an
  idea of the contents
• An example of an RFT for hardware will be put up
  later in the semester

9
Tender Plan

• Comprises two parts
• - establish objective criteria which all parties
  must address (relates to specific skills and
  competencies needed)
• - determine the criteria against which the
  tenders will be evaluated (to justify your
  eventual choice of contractor)

10
Types of Conflict

• Internal/within the self when our own needs,
  emotions and experiences are unresolved or
  unsatisfied.
• External/outside of the self occurs between two
  or more people, leads to discomfort,
  misunderstanding, tension and perhaps crisis.
• Realistic resolvable conflict because both
  parties are amenable/willing to resolve the
  difference.
• Unrealistic difficult to resolve because neither
  party is willing to change and negotiation
  becomes difficult.

11
Why does Conflict Occur?

• differences in values, attitudes, traditions,
  prejudices
• different goals
• expectations not being fulfilled
• different work practices
• responses to incidents
• misunderstanding
• competition
• feelings of anger, of disappointment, of being
  offended

12
Responses to Conflict

• Define the issues
• Determine the major concerns and needs of each
  party using feedback skills, listening skills,
  assertive behaviour, non-verbal messages, empathy
• Generate solutions brainstorm options, introduce
  an action plan to ensure that those options are
  implemented

13
Negotiation Styles and Strategies

• Negotiation is a process in which two or more
  people attempt to resolve differences, discuss
  problems and arrive at an agreement
• Style personal style will affect the way in
  which an individual negotiates and can be
  classified according to ways in which the
  individual uses/experiences power and
  psychological barriers
• Strategies win-win, win-lose, lose-lose - each
  strategy has a different outcome and relies on
  different styles of communication

14
Stages in the Negotiation Process

• Plan - establish clear objectives before engaging
  the other parties
• Select appropriate time and setting
• Set the Context- establish trust and confidence
  via listening skills, establish the areas of
  common ground, ensure all parties feel equal and
  safe

15
Stages in the Negotiation Process ctd.

• Define needs - establish the needs of each party
  by listening
• Discuss - deal with one issue at a time, clarify
  and summarise the content, feelings and ideas
  which are, and have been, communicated
• Negotiate - brainstorm possible solutions,
  evaluate those options, select those that
  everyone can agree to, implement the solutions

16
Options

• Compromise
• Collaboration
• Competition
• Accommodation
• Avoidance

17
Remember...

• use I messages
• try to separate the people from the problem
• focus on interests rather than positions
• discuss a variety of possibilities for resolution
  before determining an option
• establish clear and concise criteria to ensure
  results of the process are based on an objective
  standard