What is a competitive offer?
When a company, organization, region or educational facility is looking for investment services such as accounting, insurance -matical services or asset management, a competitive bid process often takes place. Especially for public institutions, such as a pension fund or a university foundation, there is a level of liability to be achieved in decision -making. This also applies to the company level because the Board of Directors will have responsible decisions for the decision. The competitive bid process is one of the ways to maintain a transparent method for obtaining third -party service providers that remain fair and that after successful implementation will lead to the selection of the relevant supplier.
Competitive offers often begins with a request for a proposal (RFP) issued by an entity seeking a financial service or an external consultant that controls the search process. The document is published either to the public or only at the invitation. The qualifications for the contract are listed in RFP and as a resultThey are often invited by a qualified company at an invitation in a competitive bidding procedure. In order for services providers to respond effectively, the period and answers (Q&A) will be determined between the applicants and the issuer or consultant. After this period of Q&A, the period for submission is forced.
In the open competitive bidding procedure, the services of the service provider that are accepted are available to others. The closed competitive bid process is less public and only some individuals will gain access to records in this type of process. The results of questions and answers are often published for other applicants to see if they face similar questions.
After the submission deadline, all items are reviewed. Based on a group of submission, the time required to review will be to be reviewed. Qualification companies that best meet RFP criteria are created a short list and narrows the competitive bid process. CompanyWe that appear on a short list may be invited to an issuer's appointments to better explain the products and services offered and respond to any concerns or questions that the issuer may have regarding strategy, fees or other concerns.
The competitive bid process has ended when the service provider is concluded a contract. Often, even after the winner is selected, there are some negotiations that must be completed. In the event of a failure of the final negotiations, the issuer often chooses the applicants for the finalists to obtain a contract instead.