What Does The Tender Department Do

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What Does The Tender Department Do
What Does The Tender Department Do

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Video: What is Tendering? | Tender VLE | Hudson Outsourcing 2022, November
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Along with the laws of the market, many previously unknown and previously incomprehensible terms have penetrated and firmly entered the Russian economy. Although in the West, tender purchases have long become commonplace. However, today at many Russian enterprises whole tender departments are already working successfully, bringing considerable profits, sometimes comparable to the profitability of the main production.

What does the tender department do
What does the tender department do

What is tender

Taxes from entrepreneurial activities go to the state treasury and are sent to it, including to pay for work performed within the framework of state orders or goods necessary for state needs. And, since the economy has long ceased to be planned, the cost of these works and goods depends, among other things, on the market conditions, i.e. it can be completely different. Since saving and rational use of funds allocated from the budget is the main task of financial state structures, a tender is announced among enterprises wishing to supply the necessary goods or perform a certain work. In fact, it is a competition where a winner is selected whose goods, services or works have the most optimal ratio in terms of price and quality.

The announcement of the upcoming tender is placed by a customer - a municipal or state organization on a specialized public procurement website on the Internet and on some other portals. The announcement contains tender documentation, which lists the requirements for the subject of the auction, the timing of its delivery or implementation, the criteria by which the winner of the auction will be selected. Participants in the announced tender are obliged to submit their applications before a certain period, if necessary, a bank guarantee or a surety agreement may be attached to the application as a guarantee.

Why do you need a tender department at the enterprise

Fulfilling a government order may not be very profitable commercially; it is a prestigious job that enhances the business image of any company. Therefore, the enterprises participating in the tender even, at times, somewhat underestimate the cost of their own, services, goods and works. In order to monitor the holding of tenders, to have time to submit applications and participate in them, companies have dedicated specialists and even create entire tendering departments, if the company is large enough and is a permanent participant in such competitive tenders.

Specialists working in tender departments monitor Internet portals, specialized sites and trading platforms where announcements for state tenders are posted. They must also analyze the tender documentation and decide how economically feasible the participation of the company in a particular tender, and on the basis of this make decisions about participation in them. They promptly prepare applications for participation and all the necessary package of documents specified in the tender documentation as a mandatory application.

The duties of the employees of these departments also include consultations with managers and heads of other departments on the specifics and pricing of the offered products and the technical part of applications, conducting business correspondence with the customer, timely provision of all necessary information on the terms of delivery, guarantees, and available certificates at his request.

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