JULY / AUGUST | FEATURE
Is tendering trustworthy?
Tendering is facing criticism throughout the industry for destroying creativity and lacking honesty
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Thank goodness we’ re not reliant on tendering”
This sentiment, told to Access by Losberger De Boer sales directorevents John Cochrane, is echoed by the wider industry. But is the process salvageable, and what can be done to improve it?
“ I have yet to find the magic ingredient that wins tenders,” Cochrane continues.
“ More often than not, in-spite of claims that innovation and competence of delivery will be the deciding factor, the lowest price is the main driver.”
The Fair founder Nick Morgan is also concerned by this.
“ Tendering can be a benchmarking exercise to allow incumbents to continue working with an organisation which is frustrating and puts you off taking the risk of going for a tender as it is isn’ t always a straightforward process.
“ I would love there to be more opportunity to meet potential clients in person to ensure that there’ s the right chemistry between all parties and that results aren’ t just based on a quantitative process.”
Incompetence too often prevails, despite honest intentions, according to Paul Grecian, chairman, Gallowglass Group.“ Most large organisations genuinely want the tendering process to be fair, but all too often it’ s flawed by incompetence. Processes aren’ t followed, or weak managers are too timid to change the habits they’ ve clung to for the last 30 years.
“ Those buyers who purchase purely on price, change suppliers frequently in the relentless pursuit of cheaper deals. But they don’ t have the foresight to realise that it’ s this pressure on suppliers to undercut each other that ultimately results in Carillion-style collapses of major employers.” Cochrane concurs:“ Most tendering processes discourage human interaction, and they are simply data gathering mechanisms that produce a number at the bottom right hand column of a spreadsheet.
“ If we were producing widgets, then I can see the benefit, but event infrastructure is a very different beast, and should be purchased in a suitably different way.
“ Good customer relationships and solid reputations built on integrity and professionalism cannot be trumped by the tendering process.”
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