Common misconceptions about tenders in South Africa
By Werner van Rooyen, Director of HowToTender (Pty) Ltd which specializes in tender consulting and tender training.
How to Tender presented workshops to numerous people and companies since 2013. During these workshops we have encountered many wonderful stories of companies that won tenders in both the Public as well as the Private Sector. The opposite is also true – we also have heard horrible stories of how things can go wrong when responding to tenders.
During these workshops we have learned that there are many misconceptions regarding tenders and the tender process in South Africa. Here are two of the most common misconceptions out there:
- All tenders are awarded fraudulently:
This misconception is the most common and it is hard to defend it. The newspapers are full of articles and stories of tenders that have been awarded fraudulently – especially Government tenders. This might be so, but the reality is that there are hundreds of tenders available daily in South Africa. If all these tenders were to be awarded fraudulently then our economy will come to a standstill. The fact of the matter is that more tenders are awarded on a fair and transparent manner than on a fraudulent manner. We are proof of that – we have done plenty of Government tenders and we have been awarded many of them – this without bribing anyone.
- You can only win tenders if you are Black:
Although the focus of Government – both National and Provincial – is to encourage and promote Black business in South Africa, there are instances where a white owned business can be awarded a tender. We at How2Tender also have first-hand experience on this matter. We have responded to many tenders on behalf of White owned businesses across South Africa and even won a couple of these tenders. The fact of the matter is that if the Preference Point System is used correctly the best company will win, irrespective of whether it is Black or White owned.
If you respond to tenders, ensure that you are doing it correctly. If all your compulsory documents as well as your additional documents are submitted, you will not be disqualified. If you pass the Functionality evaluation you will advance to the Preferential Point Scoring system and then the outcome is dependable on your Price and B-BBEE Score. If your product or service is well priced and you have a good B-BBEE Score, then chances are good that you might just be lucky.
To learn more about tenders, attend our “Become a Tender Expert” 2-Day workshops presented in Johannesburg, Pretoria, Durban, Port Elizabeth, and Cape Town. Book and pay online at https://howtotender.co.za/tender-expert-form/
Contact us at wernervr@howtotender.co.za should you require more information.
You can also purchase a Tender Manual (Handbook) on our website https://howtotender.co.za/ which is a step by step guide how to respond to a South African Tender. It includes examples of completed SBD forms.
