Negotiation with bidders, Financial Management

Assignment Help:

Negotiation

You can also negotiate with the bidders based on the requirements as mentioned below.

You can negotiate only with the lowest evaluated responsive and qualified bidder. Normally, you should not negotiate, as this sets a bad precedent for the bidders, who then initially raise the prices and may reduce the prices marginally on negotiations, which may still be more than the reasonable costs/prices. Thus, negotiations may lead to corruptive practices. However, negotiations may have to be conducted under the following circumstances:

  • When you find that the lowest evaluated responsive and qualified bid for works or for items of goods are substantially more than the updated cost of works or items of goods.
  • When the procurement for works or goods is of an urgent nature and rejection of bids and re-invitation of fresh bids will adversely affect the schedule for completion of the project.

The Chief Vigilance Commissioner, GoI has issued detailed guidelines4  on the circumstances under which negotiations could be conducted. GoK has also issued detailed guidelines as well as mentioned the procedure that has to be adopted for conducting negotiations.


Related Discussions:- Negotiation with bidders

Personnel characteristics, Workers interest in participation is also influe...

Workers interest in participation is also influenced by certain personnel or group characteristics. For example several research studies have shown that both very low and very high

TOOLS TO ACCESS ECONOMIC RECESSION, WHAT ARE THE TOOLS OR MECHANISMS THAT C...

WHAT ARE THE TOOLS OR MECHANISMS THAT CAN BE USED TO ACCESS ECONOMIC RECESSION?

Define believe an increased common stock cash dividend, Do you believe an i...

Do you believe an increased common stock cash dividend can send a signal to the common stockholders?  If so, what signal might it send? An increase in cash dividends is frequentl

Financial plan development, You need to tick all the boxes below to acknowl...

You need to tick all the boxes below to acknowledge that your Statement of Advice complies will all the requirements. This checklist needs to be appended to the cover sheet of the

What is dependent care expenses, Q. What is Dependent Care Expenses? De...

Q. What is Dependent Care Expenses? Dependent Care Expenses - Qualified child care expenses would allow a taxpayer this computed credit against tax. Amounts can be found on the

Significance of secondary markets, Significance of Secondary Markets: H...

Significance of Secondary Markets: High liquidity and constant demand in the market need a diversified investor base with different preferences of demand, maturity and risk. Ap

What are three major sections of the statement of cash flow, What are the t...

What are the three major sections of the statement of cash flows? Cash flows from financing activities Cash flows from investing activities Cash flows from Operations

ASSIGNMENT, Assume that we have the following data: C=100+0.50Y Ip=100-20r...

Assume that we have the following data: C=100+0.50Y Ip=100-20r Mt=0.10Y Ms=100-10r M=80 a. Build the IS-LM function. b. If we assume an increase in Investments by 100 units, p

Leverage, evaluate the importance of leverage in financial management of a ...

evaluate the importance of leverage in financial management of a small scale company

Financial evaluation and decision making, Financial Evaluation and Decision...

Financial Evaluation and Decision Making: The final major element of financial management is the evaluation of the information provided through the accounting and budget proces

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd