Optimizing Procurement: Tendering and Supplier Selection

General Tendering Procedures

General Tenders represent a formal procedure for selecting suppliers. Any registered supplier may participate, provided they comply with the specific conditions associated with each selection process. In this process, pre-selection acts, the receipt of bids, and the public opening of economic bids are critical steps leading to the final decision.

Conditions for General Tenders

A purchase is made via general tenders if the purchase request meets any of the following conditions:

• For the purchase of goods or contracting of services with an estimated value exceeding €60,000.
• For construction works with an estimated value exceeding €180,000.

The Bids Commission

Commission Purpose and Structure

The Bids Commission is a committee composed of an odd number of members. Its primary purpose is to ensure that all procurement processes comply with existing legal regulations and procedures. The commission also advises the company on effective contract monitoring.

Members are appointed by management and must be company employees. Ideally, representatives from legal, technical, and financial/economic departments should be included to ensure comprehensive oversight.

Supplier Selection Process

The following steps outline the procedure for choosing a supplier:

1. Step 1: Review Supplier Records

   When creating a purchase order, the internal register of suppliers is reviewed to identify those who can provide the requested resource. If no suitable suppliers are found within the register, commercial databases are searched for potential suppliers, who are then invited to register.

2. Step 2: Exclude Ineligible Suppliers

   Suppliers who are disabled or otherwise unable to provide the required service or product are immediately excluded from consideration.

3. Step 3: Select by Historical Performance

   Suppliers are ranked by score based on their past purchase history. If no prior purchases have been made with a particular vendor, their initial registration score is used (typically multiplied by 0.9). Suppliers with the highest scores are then selected for further consideration.

4. Step 4: Check Complaint History

   The complaint history for each potential supplier is thoroughly reviewed. Any pending complaints or unresolved issues are noted.

5. Step 5: Final Supplier Review

   The claims processes for the selected suppliers are analyzed. Any supplier with significant or unresolved complaints should be excluded from the final selection.