Open Tenders – $60,000 and over budget

A tender is an open invitation to the market via a Request for Tender (RFT) document to provide a response for the provision of goods and or services. This information is disseminated via public media and specific websites. All responses received via the tender box and or electronic account will be evaluated according to the specified criteria and where appropriate, the agency, on behalf of the Crown will enter into a contract with the successful tenderer.

This approach champions a high degree of transparency, fairness and maximizes competition by allowing various suppliers to participate, aiming to ensure that the procuring agency acquires the best value for money. On the contrary, it can be time consuming due to the volume of submissions to be evaluated and also risky since it may also attract submission from less qualified, experienced and capable suppliers.

Closed Tenders – $60,000 and over budget

A closed tender is a direct invitation via a RFT to a selected known suppliers to provide a response due to their specific qualifications, experiences and capabilities. All responses received via the tender box and or electronic account will be evaluated according to the specified criteria and where appropriate, the agency, on behalf of the Crown will enter into a contract with the successful tenderer. In order to undertake this approach which is simply a deviation from the open tender process, prior written consent from the TC is required.

This approach can streamline the procurement process and can be suitable particularly when the tendering agency is looking for a specific goods and or services that are limited in nature or when a high level of confidentiality is required. On the contrary, it can lower the levels of competitiveness as opposed to open tenders. In addition, the absence of transparency may lead to concerns about favoritism or corruption, especially in the public sector.