Sourcing Inadequate or inappropriate supplier response Wrong approach to Analyze supply market Higher prices market Develop sourcing strategies Selection of inappropriate approach Proper application of the Identify wrong sourcing Inadequate or inappropriate or post-qualification, strategy or do not have supplier response depending on the identified sourcing strategy Limit competition complexity and risk Contract with unsuitable Independently verify suppliers’ companies Misrepresentation of facts qualifications Claims of unethical or unfair by potential suppliers Conduct supplier reference check and dealing due diligences Breach of contract Inadequate suppliers Outdated information on response Maintain suppliers roster potential suppliers Limit competition Lack of sourcing strategy Advertisement of Limit competition Identify relevant media to post procurement notices in Contract with unsuitable procurement notices inappropriate media companies Preparation and issuance of solicitation documents Inadequate or inappropriate Have clear goal to be achieved as a results Use of inappropriate result of the procurement process Not achieving best value for evaluation criteria Consider implications of evaluation money criteria Re-tendering (time/ cost) Develop strong understanding of market and industry practices Loading the cost in offers Develop commercially acceptable Unacceptable Limits competition terms requirements to suppliers Too few bids Check that responsibility for risks is Re-tendering (time/cost) not allocated to suppliers for factors outside their control Loading cost in offers Great variation in offers Provisions of inadequate Review documents before issue Create confusion among information Know the market potential suppliers Re-tendering (time/cost) Receipt and Evaluation
Sourcing Wrong approach to market Inadequate or inappropriate supplier response Higher prices Selection of inappropriate approach Analyze supply market Develop sourcing strategies Identify wrong sourcing strategy or do not have sourcing strategy Inadequate or inappropriate supplier response Limit competition Proper application of the or post-qualification, depending on the identified complexity and risk Misrepresentation of facts by potential suppliers Contract with unsuitable companies Claims of unethical or unfair dealing Breach of contract Independently verify suppliers’ qualifications Conduct supplier reference check and due diligences Outdated information on potential suppliers Inadequate suppliers response Limit competition Maintain suppliers roster Advertisement of procurement notices in inappropriate media Lack of sourcing strategy Limit competition Contract with unsuitable companies Identify relevant media to post procurement notices Preparation and issuance of solicitation documents Use of inappropriate evaluation criteria Inadequate or inappropriate results Not achieving best value for money Re-tendering (time/ cost) Have clear goal to be achieved as a result of the procurement process Consider implications of evaluation criteria Unacceptable requirements to suppliers Loading the cost in offers Limits competition Too few bids Re-tendering (time/cost) Develop strong understanding of market and industry practices Develop commercially acceptable terms Check that responsibility for risks is not allocated to suppliers for factors outside their control Provisions of inadequate information Loading cost in offers Great variation in offers Create confusion among potential suppliers Re-tendering (time/cost) Review documents before issue Know the market Receipt and Evaluation
PSU_Transactional%20Procurement%20Strategies%20and%20Procurement%20Planning.docx