Issue Date: 
Monday, July 3, 2017

Functionality and Tenders

In all competitive bids/tenders you as the bidder will have to respond to Functionality. You will need to score a set minimum number of points, measured as a percentage, on Functionality of a competitive bid (tender) in order to advance to the next phase of evaluation in the tender process.

Usually Organs of State evaluate competitive bids/tenders as follows:

  •  The tender response is evaluated on Functionality where the bidder must score points out of a maximum of 100 points.
  • A threshold of between 65 to 75 out of 100 points is usually set, but this can be higher or lower, depending on the Organ of State.
  • All tender responses achieving less than the set threshold will be declared non-responsive and will not qualify to be evaluated on B-BBEE and Price.

Functionality includes the following main points:

  • Track record and experience;
  • Recourses;
  • Technology;
  • Operational fit;

In your tender response, it is always important to stipulate the following when it comes to your track record and experience:

  • How many years of experience does your company/enterprise have with the goods and/or services you provide?
    The more experience you have the better, this indicates to the Organ of State that you have been providing the goods and/or services for a significant period of time and thus have experience in your field of expertise.
  • Provide contactable references and a proven track record of the goods and/or services.
  • It is always good to provide references in your response, even if it is just one reference. Refences show that you can be trusted, and how better to evaluate your experience than by contacting your references. Remember to be honest in your response as the Organ of State is sure to contact your references.
  • Provide information on your success rate.
  • This is overstating the obvious, but it is good to tell them about previous tenders that were awarded to you, and how successfully you completed them.
  • What is the nature of goods and/or services your company supplies?
    It is imperative that you supply the goods and/or services that the tender asks for. If you do not supply the exact goods and/or services that the tender asks for, you may be disqualified.
  • Provide details of your monthly volume and rand value of goods and/or services you supply to your existing clients.
    This again shows your experience, even if the volumes are small, you still supply the goods and that means experience.
  • Is there any other information you deem relevant to your proposal? If yes, provide details. This is especially important when you can add value to the goods and/or services that the Organ of State requires.

It is very important to elaborate as much as possible on Functionality, in your response. In meeting the Functionality criteria of any tender, you will be sure to advance to the next phase of evaluation.

If you want to learn more about Functionality and how it works be sure to attend one of our How-to-Tender workshops that HowToTender present across South Africa. Please visit our website at www.how2tender.com to find out more or email Werner at werner@how2tender.com.

This article was written by Werner van Rooyen, Director of HowToTender which specializes in tender consulting and tender training.

Title Closing Date Tender No.
Construction of Xurana Water Supply. 2018-10-05 12:00 ORTDM SCMU 11-18/19
Tenders are invited for the Waterproofing of Guttering of Office and Veranda Section of Roof of office area 2018-09-20 11:00 CSQ09181435
Appointment of a professional consulting engineer for the planning, design and project management: Upgrading of the eastern bulk outfall sewer line. 2018-10-05 14:00 TN033/2018
Tenders are invited to Supply an Tyre Repair/Break Down Service Equipment 2018-09-28 11:00 CSQ09181431
Tenders are invited to Clean, Cut all Grass. Trim Trees and Remove all Rubble in Diaz Road Depot at the Bottom Camp Area 2018-09-28 11:00 CSQ09181431
Printing Dannhauser Municipality newsletter 2018-09-26 12:00 RFQ / 460
Supply of Information Technology Hardware and Peripherals. 2018-10-05 11:00 SAMRC/ITHP-ITSD/2018/10
Tenders are invited for training per delegate for ( Renewal of Hydraulic platform truck Operation Certficate) per Delegate 2018-09-27 11:00 CSQ09181415
Short Term Insurance Broking. 2018-10-08 11:00 REF: NWPB/RFT/NWPBINS/003/2018
Tenders are invited for training per delegate. ( Hydraulic platform operation certificate) 2018-09-27 11:00 CSQ09181415
Tenders are invited for ( Renewal of Expired Crane Truck Operation certificate) per Delegate 2018-09-27 11:00 CSQ09181415
Tenders are invited for Training per Delegate (Crane truck Operation certficate) 2018-09-27 11:00 CSQ09181415
Provision of build environment professional services for The Independent Development Trust (IDT). 2018-10-08 12:00 IDT-MP/DOE/7SCHOOLS/2018
Supply and deliver display case with 30mm wood base 700x150x800mm. 2018-09-20 11:00 GQ09181938
Supply and deliver 400x400x100mm 6mm clear perspex box. 2018-09-20 11:00 GQ09181938
Supply and deliver 500x400x300mm 6mm clear perspex 2018-09-20 11:00 GQ09181938
Provision of Travel Management Services to Overberg Water for a period of 36 Months. 2018-10-08 12:00 RFQ OW-440/2018/19
Supply and deliver 600x400x300mm 6mm clear perspex box. 2018-09-20 11:00 GQ09181938
Supply and deliver 700x400x300mm 6mm clear perspex box. 2018-09-20 11:00 GQ09181938
Supply and deliver 800x400x300mm 6mm clear perspex box. 2018-09-20 11:00 GQ09181938

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Advantages and disadvantages of Consortiums

Consortiums are often considered as entities to use when responding to tenders in South Africa. The question that arises is whether to use a Consortium or a Joint Venture when responding to a tender. To help you with this we have compiled a list of advantages and disadvantages for both Consortiums as well as Joint Ventures. In this article we list the advantages and disadvantages of Consortiums. Look out for the same article on Joint Ventures.

Consortiums Advantages:

  • Easy to establish as there are no formal procedures... Read More
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