Mistake #1 - Going for the wrong tenders

Many businesses adopt the scatter-gun approach, attempting to take on tenders that don't necessarily suit them. They may even meet the majority of criteria, but with it being so competitive, the reality is there are likely to be many suppliers that meet all of the criteria, and beyond.

Best practice is to focus on quality, not quantity. You can save time in the future by creating a library of tender information that will be repeatedly required. This would include the likes of your financial figures, insurance policies, references, quality certification (e.g. ISO 9001) and various other policies.

Mistake #2 - Basic errors

Pre Qualification Questionnaires (PQQs) can take anything from hours to weeks to complete. As a result, without a plan in place, it's easy to miss some small requirements whilst engrossed in a more detailed part of the tender. Whilst you may think you'd never overlook them, missing deadlines and forgetting supporting documents are cited as the most common mistakes by councils over the UK.

The truth here is that you should be responsible for checking your own work. Grab whoever you can to thoroughly go over the submission, otherwise you could risk wasting all your hard work over the tiniest of details. Rather than committing key dates to memory, create a project timeline, which is kept up-to-date and sent to all involved in the tender.

Mistake #3 - Copy and paste syndrome

You can certainly save time in future bids by having easy access to repeatedly required documents, but that isn't an excuse to use the same formula for the pre qualification questions that matter most.

Another mistake cited by many buying authorities is that businesses are guilty of copying and pasting generic marketing spiel rather than answering the question. It is paramount that all information you provide is relevant to what is asked; the buyer simply isn't interested in achievements that have no relevance to the requirements!

Mistake #4 - Focusing on features instead of benefits

You may think what you do is fantastic, and you're probably right, but it's important to focus on the customer's needs. In order to demonstrate value, you need to focus on the benefits gained from using you and your services or products. So don't talk about what you do, but what it will do for the customer!

A plumber, for example, may bid for a tender to fix broken pipework. The benefits, however, could range from how preventative maintenance could save money, to new technology that reduces save water use, with resulting cost and environmental impact reductions.

Mistake #5 - Under delivering

No, it wasn't all that bureaucratic paperwork that cost you that tender, it's more likely your bid just wasn't alluring enough!

With such fierce competition, you need to aim to over deliver. When asked a question, identify everything you need that relates to that subject. Have you been asked to show your environmental policy? Then explain what initiatives you have; your paperless office, your hybrid company cars, your planned investments in greener technology. Suddenly, what appears to be a Yes or No question is a compelling answer.

Whilst we're on the ‘green' issue, this isn't going to go away. Government is setting itself stricter environmental targets and this is filtering down the supply chain. An environmental and/or a sustainability policy is a must, and in the same way the ISO 9001 quality standard is expected, now the environmental equivalent ISO 14001 is now increasingly preferred.

Many SMEs will understandably struggle to justify making major investments for the sake of one tender. However, that doesn't mean that you can't show your awareness. Set plans, be it achieving a standard or gaining something like Investor in People. By doing your homework on the buyer in question, you can align what you are saying with their overall purpose and aims beyond the tender.

 

It's tricky to balance salient points with waffle. This is where good formatting (try using bullet points) is needed to ensure everything is easily readable.

Mistake #6 - Making no profit

With the public sector under increasing scrutiny in order to save money, it is fair to say that buying authorities have tried to squeeze suppliers, placing more emphasis on pricing when it comes to scoring tender bids. However, value is the key here.

It's important that you carefully consider the full costs of delivering the project. Setting prices that are too low will limit business growth whilst tying up resources, so bear in this mind before starting on your next PQQ.

You can aid your decision on pricing by thoroughly researching your competition. Also, emphasise the value you will be providing within the tender, as it can help justify to the buyer that spending that little bit extra that result in advantages over and above the initial requirements.

 

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