The public sector tends to have more bureaucracy than the private sector, so there are more things to be taken into account when entering into the process. However, the public sector is a very reliable customer when it comes to paying and is overall less affected by economic fluctuations. Bureaucracy also offers a very solid legal environment for making trade and signing contracts. Part of trading with the public sector is responding to the prerequisites they set, and here is a brief introduction to them.
Prerequisites vary greatly between countries, within the EU, among sectors, and the value and length of the contract. One benefit of the public sector is that it has to give all the information to all the sellers (unless the information is considered confidential). Public sector offices very often also have pre-prepared information packages about trading with them. Just contacting your local office and asking for information gets you on the right track. Public sector buyers also have the responsibility to take reasonable steps to make sure your firm follows the law and meets any required standards. Keeping this in mind, you should consider creating a similar information package about your company.
Often public sector contracts scale up in for example the number of products they need. Many smaller firms simply do not possess the capacity to respond to the whole contract, only to a part of it. However, public sectors are increasingly breaking larger contracts into smaller ones as well as allowing groups of companies to submit a tender. Also feeding products to bigger companies is often an option too.
Does your company have the licences to handle those materials? Are your processes qualified? Do your staff get the expertise to deliver the order and diplomas to prove it? Your product or service might be the most innovative and cost efficient, but it won’t be selected if your company can’t fulfill all qualifications usually set on the national or international law. Not following these qualification requirements when choosing the most successful bidder is a violation of law from the public sector party itself. Read more