Government Procurement Cycle
The the process involves acquiring goods and services from different suppliers at the best price. The administration of all business are required to know the procurement cycle as this will help their business to prosper. The process of procurement is, therefore, a most important part of the most business since the ability to acquire certain goods can determine if certain operations continue. It is essential for organizations to set up a strategic team which can help in this complicated process. Procurement is also a dynamic process which requires regular monitoring and evaluation for it to be effective. There are many types of procurement process and how to bid on government contracts that a company or business can adopt.
The first step of getting government contract jobs is through identification of the requirements you need for your business. The purpose of doing analysis and doing a benchmark of the current performance is to help you in adopting the right procurement procedure. The product being assessed can be a new one for the business or even an old one that needs to be reordered. The right good being ordered is critical hence it is important to be specific.
Vendor selection is the next step after identifying the type of goods needed for your business. Find a vendor who does not only supply quality services, but one who is trustworthy. Companies should look at the government contract website and select a vendor who can cater for all their needs. You can also develop a list of vendors that offer the goods your business needs. To avoid losses as a result of vendors negligence, make sure you do a thorough selection process for the vendors.
You must get consent from the highest authority before you request for quotation. The purchase order will specify the goods and services being ordered as well as their prices. If approved a purchase order will be given to buy the goods from the seller. They are also very useful especially when you want to track payments and manage your business inventory. The buyer can then send an invoice to the seller to describe the exact contents of the order.
Payment should be made in form of cash and at the time frame that both parties agreed on. In the case of audits the company must maintain proper records to assist the auditor. A procurement process that is done very well can add a lot of value to most business and companies. You will also minimize delays and get the products you want at a more favorable rate. Once the tenders have been submitted, the rights bids must be evaluated so as to opt for the best supplier. The contract contains all the activities that should be done by both parties.