Bids, Tenders and Proposals: Winning Business through Best Practice (Bids, Tenders & Proposals: Winning Business Through Best)

In most contexts where cost is a key criterion in the selection of contractors, clients do not indicate the budget available for the work. But there are sectors of procurement in which contracting authorities do provide this information. It is standard practice in certain areas of EC-funded work, and is an option sometimes taken by other development agencies and international financing institutions in contracting for assignments that are simple, capable of precise definition and subject to a fixed budget.

• If you are told the budget, does it match your perception of the scale of the professional effort required?

• How is the available budget likely to be structured over the duration of the contract?

• How will these points need to be reflected in your cost estimates?