7 minute read

Ducking the deluge of red tape

Philip Norman explains how to improve your chances of winning public sector business

Bidding for public sector business is not for the fainthearted, or such is the perception among many private sector businesses. Have you ever been tempted by a public sector opportunity, only to find that the paperwork might take you longer to decipher and fill in than it takes to recruit a whole team of bid professionals? Are you lacking in the necessary resources and unsure of how much the whole process might cost? And yet, have you really looked into this and explored every avenue? Not considering the vast public sector arena could mean that you are potentially losing out on some really solid business. Here, I’ll describe how you could get closer to winning that worthwhile prize.

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Having worked for a number of years as a public sector procurement professional, both within a central government collaborative procurement directorate and also within a large

“not considering the vast public sector arena could mean you are losing out on some really solid business”

NHS procurement agency, I became increasingly aware of the rapidly emerging gulf between public sector procurement professionals like myself and private sector businesses that wanted to bid for opportunities, but simply did not know where to start or what the paperwork required of them. stymied suPPLiers I was certainly very well versed in all aspects of public sector procurement – my role involved developing strategies and, in turn, tenders for large-scale public sector procurements and overseeing their evaluation and award process. This was an in-depth exercise that involved a huge amount of planning, market research and knowledge, and took place over a number of months in order to get it absolutely right. But I always knew that a huge lack of awareness and understanding seemed to exist among suppliers over what was really required of them.

I found myself thinking of ways in which I could make the process simpler for businesses to understand. I often found my sympathies were with those on the other side of the fence, the frustrated private sector marketers – talented people with unblemished track records in B2B marketing and yet completely flummoxed by what some saw as a ridiculously convoluted process.

Of course, the intention behind the current public sector tender process is that it should be a completely fair and competitive system, allowing any business the opportunity to bid for proportionately sized contracts to supply large, prestigious organisations such as the NHS (the absolute transparency of the process also being the reason behind its perceived inflexibility). The irony is that the supposed beneficiaries are so put off by the apparent bureaucracy and an uncertain return on investment that they do not always pursue these opportunities. Yes, training workshops can be provided by the public body: how to tackle the e-tendering portal; ‘meet the buyer’ events; insights into the latest tendering regulations published in the Official Journal of the European Union (OJEU); information on pre-qualification questionnaires (PQQs) and invitations to tender (ITTs); and the list goes on – but these just don’t seem to be enough to give the potential supplier confidence that the process is going to be clear, concise and, dare I say, sensible. OvercOming the barriers From my experience, I know that there are very good reasons for the way in which public sector tenders are developed and that there can be simpler ways for businesses to approach the bidding process. I felt such a strong desire to

Bidding Bloomers

l cOnfusing the PQQ and itt Phases You must understand the difference between the two. the PQQ is about selection criteria and shortlisting. the focus is always backwardlooking, so you need to demonstrate your credentials. the bidding is through an itt, which is forward-looking and focuses on how you will seek to perform the contract.

l nOt asking QuestiOns it is a myth that you cannot communicate with the buyer during a tender process. if you are not offered the benefit of supplier engagement activity or a pre-qualification event, this does not mean you cannot enter into dialogue with the buyer to clarify any aspect of the tender. but follow the requested procedures.

l Lacking creativity and innOvatiOn creativity and innovation will set your bid apart. go beyond expectations with all the features and benefits you can offer. show you are capable and cite examples. Work out your usP or ‘win-theme’, and build on that to make your response more relevant to the requirement.

communicate this message that I eventually left the government to set up my own business with the main aim of helping businesses overcome the barriers to bidding for public sector business.

Winning public sector bids is not as unattainable as many think. With a good understanding of how the system works and a clear strategy in place, the whole process can be well managed and completed within reasonable timescales, with minimal strain on resources. Even if success is not achieved first time round, once a bid has been completed in the correct way, the key information will be at your fingertips and ready to be reviewed and refined should you wish to bid for another opportunity.

As a starting point, I have found that it can help to be aware of potential minefields before embarking on a bid. Using my experience of evaluating tender responses, I have put together a list below of what I have found to be the biggest mistakes companies make. gOing fOr the wrOng cOntracts Only go for contracts you know you can definitely fulfil, otherwise you will be wasting your own time and that of the public sector – and buyers can

“only go for contracts you know you can definitely fulfil, otherwise you will be wasting your own time and that of the public sector”

have long memories. If the tender asks for certain requirements, make sure you can deliver them or have a plan in place to do so. If you go ahead, complete the tender documentation in full, do what is asked of you and avoid sending stock corporate sales material and pasted patter. faiLing tO fOLLOw instructiOns Even before your bid is quality assessed, it could be disqualified. Ignore the word count or fail to complete any part of the tender and you could find yourself removed from the process without recourse. If asked to complete the tender in a particular format, do not ignore that instruction. The public sector does not want to see the response in any format other than that specified. Presentation beyond that specified will not score extra marks.

nOt asking fOr heLP If you do not have the time, capacity or experience, you can get additional help in completing your bid. Expert companies like mine specialise in developing public sector responses.

PhiliP norman is founder of public sector bid management company Bidbetter. He has worked with both SMEs and multinationals in a number of different sectors, achieving a three out of four bid-win success ratio for his clients. Call him on 01202 237506, connect on LinkedIn or visit www.bid-better.co.uk more Bidding Bloomers

l faiLing tO infOrm yOur referees it does not give a good impression if a public sector body contacts your nominated referees and they are either not aware they were listed or, even worse, give you a poor reference. this happens more often than you might think.

l submit the tender tOO Late most public bodies have a zero-tolerance approach to late tenders, and rightly so. Plan methodically and allow time to upload the documents (i always suggest submitting your bid at least 24 hours prior to the deadline).

l intrOducing inaPPrOPriate Or iLL-PrePared PeOPLe if you are invited to undertake or receive a presentation, make sure it is the most appropriate person or people from your company who attend. they should all be well versed in the requirement and in your company.

being ‘ecOnOmicaL’ with the truth It’s amazing how many companies bidding for the same work all profess to be the industry leader. Do not include bold statements that cannot be backed up with the appropriate evidence. And a word of warning for the re-bidding incumbent supplier: be very careful what you submit – they know you and what you can actually deliver. Pricing waywardLy The public sector does not negotiate in the traditional sense, so the price you bid within the tender is the price they will evaluate. If you price at a point that your market intelligence suggests will result in a win, be extremely diligent in ensuring the price is sustainable for you. Price review points within public sector contracts are becoming increasingly hard to come by. You do not want to be making a loss with nowhere to turn.

There is no doubt that you will experience some frustrating processes and documentation when bidding for public sector business, but if you bear these points in mind, you will be on track towards unravelling the mysteries of the public sector tender process and winning that business-changing bid. In general, the only way you will win public sector business – and any formal tender business for that matter – is if you approach it in a planned, thoughtful, methodical and energetic way.

Public sector contracts are there for the taking. You just need to be proactive, follow all instructions and stick to a strategy. Take it seriously and you could be reaping the rewards.