Types of procedure: open, restricted, quotation, direct award, expression of interest (DR Congo)

The procedure is how the buyer puts firms in competition. It tells you whether you can respond, what you hand in and how much time you have. The exact name changes from one country and funder to another, but the mechanisms are the same. The notice or tender file always says which one applies.

Open tender

What it is. The buyer publishes a notice, and any firm meeting the conditions can respond. This is the rule for contracts above a certain amount and the case most of this guide describes.

National or international. A national tender mainly targets firms in the country and is published there. An international tender is published more widely and assumes foreign competition. This does not shut you out: a local firm can respond if it meets the criteria, but they are often higher and the file may be in English. Conversely, a national notice can remain open to foreign firms, especially when a funder pays for it.

What you hand in. The administrative documents, the technical bid, the financial bid and the bid security if one is requested.

The trap. Thinking "open" means "within anyone's reach". The file may demand a turnover, references or equipment beyond you. Read the criteria before you start.

For a small firm. Look at the lots first, the parts of the contract the buyer puts out to competition separately. Each lot is evaluated on its own, and you can often respond to just one, with more modest requirements. If you respond to several, the file may require your capacity to cover their total. Otherwise, see Joint ventures and subcontracting.

Restricted tender and prequalification

What it is. Only firms invited by the buyer can submit a bid. "Restricted" covers two situations: either the buyer first published a prequalification notice and selected the qualified candidates, or it directly invites firms it knows, where the rules allow this.

Who can respond. At prequalification, any interested firm. After that, only those selected.

What you hand in. First a qualification file with no price: legal status, turnover, similar contracts, resources. Then, if you are selected, a full bid.

The trap. Taking prequalification lightly. If you are not on the list, you will not even see what follows. Another trap: what you declared at prequalification must still be true when you bid, and the file may ask you to confirm it.

For a small firm. Respond to prequalification notices in your sector, even if the contract looks out of reach: it is a way of becoming known. Where the procedure runs with no public notice, only your reputation with the buyer can get you invited.

Quotation and request for prices

What it is. For small amounts, the buyer asks a few suppliers for prices and chooses, most often, the cheapest compliant one. Depending on the country it is called a cotation, demande de cotation, demande de prix or demande de renseignements et de prix.

Who can respond. The firms consulted and, when a notice is published, all those meeting the conditions.

What you hand in. A light file: a signed quote, the technical sheet of the product or service and a few administrative documents. Delivery terms count as much as the price.

The trap. Time limits are short, sometimes a few days. Without up-to-date certificates you are out before you even price. A request forgotten in an inbox is as good as a refusal.

For a small firm. This is often the best way in: small amounts, few formalities and your first references. But you only receive a request if the buyer knows you. Register on supplier lists where they exist, introduce your business to the purchasing departments of buyers in your region, and keep a standard quote with current prices so you can answer fast. At international agencies the equivalent is the RFQ: see the United Nations page.

Direct award

What it is. The buyer deals directly with one firm, with little or no competition. It is called gré à gré, entente directe or marché négocié depending on the country. It is the exception, kept for defined cases: real emergency, exclusive right, a service only one supplier can provide. It most often needs an authorisation.

Who can respond. Nobody: there is nothing to respond to. You cannot apply for a direct award.

What you hand in. If the buyer approaches you, a bid and supporting documents, followed by a negotiation.

The trap. The go-between who offers to "arrange" a direct award for a commission. That is corruption: you risk debarment from public contracts and prosecution, with no guarantee of a result.

For a small firm. There are honest ways of being considered. Make your rare capacities known, such as an exclusive dealership, an approval or a presence in a hard-to-reach region. Keep a clear company page. Do small consultations well, because a buyer calls back suppliers who delivered. And a direct award given to another firm can open subcontracting for you.

Expression of interest (AMI)

What it is. The buyer publishes an expression of interest notice (avis à manifestation d'intérêt, or AMI) to identify candidates before launching its consultation. You are not bidding yet: you are showing your references to get onto a list. This is the normal route for consultants, though a buyer may also use it for works or supplies.

Who can respond. Any firm, consultancy or consultant within the scope of the notice, alone or in association if the notice allows it.

What you hand in. A letter, a company presentation and above all similar assignments described and proved: client, subject, period, amount, your role. No price, and generally no methodology yet. The notice says whether CVs are requested.

How the shortlist works. The buyer scores the experience against the notice's criteria and keeps the best placed, in limited number. Only they receive the request for proposals, where the methodology, experts and price come in. This is described in Works, supplies, services, consulting.

The trap. Sending a general brochure. The reader is looking for assignments that resemble this one. Present the closest first and use the notice's words. Do not attach a price.

For a small firm. If your references fall short, associate with a firm that has the missing ones. Do it at the expression of interest stage, because changing the team afterwards is often restricted.

Two-stage tender

What it is. For a complex purchase the buyer cannot yet fully specify, it first asks for technical proposals with no price, discusses them with candidates and refines its need. It then asks for final bids with prices.

Who can respond. Firms admitted to the first stage, to which the notice generally invites them.

What you hand in. A technical proposal with no price, then a revised technical bid and a financial bid.

The trap. Confusing this with two envelopes. Two envelopes means a technical and a financial bid handed in on the same day and opened separately. Here, there are two submissions at different times. Another trap: stating a price at the first stage.

For a small firm. The procedure is long and costly, and rarely within your reach alone. Access comes rather through a partnership with a large bidder, as a specialist or subcontractor.

Framework agreement and call-off contract

What it is. The buyer selects one or several suppliers for a set period, with prices or terms fixed in advance, then orders as needed. Names vary: accord-cadre, marché à commandes, marché de clientèle, or long-term agreement at international bodies.

Who can respond. It depends on the starting procedure, most often a tender. If there are several holders, they are sometimes put back in competition for each order.

What you hand in. A standard bid, with unit prices that bind you for the whole period.

The trap. Reading the maximum amount as guaranteed turnover. The buyer can order far less, and the file sometimes sets a minimum, sometimes none. Also check whether your prices can be revised: a frozen price and a rising cost is paid for over the whole period.

For a small firm. Regular orders are valuable, but they require stock, cash and the ability to deliver quickly on each order. Work out what you can sustain at the highest volume.

In your country

Here are your country's procedures, under their local names, with the cases where each is used.

Open tender, national (AON) or international (AOI)

The default rule. At central level, national tender from 100 million FC for works, supplies and ordinary services, and 50 million for intellectual services; international tender from 16 billion FC for works, 1 billion for supplies and services, 500 million for intellectual services. It can be preceded by prequalification for large contracts.[3][1][9]

Minimum period: At least 30 calendar days between publication of the notice and the filing deadline (7 days less if the notice and dossier are sent electronically). In a duly justified emergency, 15 days at most, with DGCMP authorisation.[1][4]

For you: Missing advertising voids the procedure: if you see a contract awarded without a notice you have an argument for appeal. Count 30 calendar days, but opening follows right after the deadline: no margin on the day.

Restricted tender (AOR)

Only when goods, works or services are so specialised that only a limited number of suppliers can provide them. All potential candidates are invited. Use is justified and needs DGCMP authorisation. In 2010 the decree required prequalification from 100 million FC for this procedure.[1][2]

For you: If you are a specialised supplier, make yourself known to buyers in your field: the invitation comes from them.

Consultation of three pro forma invoices (below the national threshold)

Contracts below the national tender threshold do not follow the formal rules. The buyer compares at least three pro forma invoices from suppliers, providers or contractors, and publishes the award on the ARMP site: without that publication the contract is void. For an intellectual service under the threshold, a direct invitation goes to at least five providers.[2][4]

For you: This is most small purchases. There is no public notice: being known to the buyer and knowing when it consults is everything. Awards are published afterwards, which shows who buys what.

Direct agreement (gré à gré)

Exceptional, after special DGCMP authorisation and on written grounds. Listed cases: patent, licence or exclusive rights of a single provider; technical or artistic reason; extreme urgency replacing a defaulting contractor; unforeseeable compelling urgency; special contracts (defence, security, strategic interests). The winner must have the required expertise and accept specific price control.[1][4]

For you: You cannot apply. If a direct-agreement contract touches your field, check whether it is published on the ARMP site, which is mandatory.

Expression of interest and request for proposals (intellectual services)

Studies, supervision and technical assistance are awarded after competition among prequalified candidates. Four selection methods exist: combined technical quality and cost (most often scored 80% technical and 20% price), technical quality only, fixed budget, least cost. The method must be announced in the request for proposals.[1][4][3]

For you: Technical and financial proposals go in separate envelopes. If your technical proposal does not reach the minimum score, your financial offer is returned unopened.

Two-stage tender and design contest

The two-stage tender is for very complex contracts or those judged on performance, with prior DGCMP authorisation: first technical proposals without price, then final offers with price. The contest is for designing a work or architectural project when technical, aesthetic, environmental or financial reasons call for it; prize-winning projects become the buyer's property.[1][4][3]

For you: In a contest, unsuccessful entries are returned to the competitors, at their own cost, within a month.

Call-off contract and customer contract

To cover ongoing annual supply needs (call-offs) or repeated services (customer contracts). One-year term, renewable once. The contract states the minimum and maximum limits of the service.[1]

For you: Being selected does not guarantee a volume of orders: look at the minimum and maximum limits written in the contract.

Public service delegation

The law also covers public service delegation agreements (management of a public service entrusted to an operator paid through operations). Their forms, advertising and selection are set by Prime Minister's decree. The thresholds decree applies the intellectual-services thresholds to these contracts.[1][2]

For you: Public-private partnerships fall under another law (no. 18/016 of 9 July 2018), not analysed here.

The choice of procedure often depends on the estimated amount. The thresholds below set it when the national code applies. A funder or international body has its own.

Buyer	Contract	Amount	Effect
Central level	Works	100,000,000 FC excluding tax	National tender mandatory from this estimated amount. Below: three pro forma invoices.[3][9]
Central level	Supplies	100,000,000 FC excluding tax (supplies and ordinary services)	National tender mandatory from this estimated amount.[3][9]
Central level	Consulting	50,000,000 FC excluding tax	Formal selection of intellectual services from this amount. This value comes from the Budget Ministry presentation; the ARMP FAQ writes 100,000,000 FC (see gaps).[3]
Central level	Works	16,000,000,000 FC excluding tax	International tender for works; contracts at this level are also approved by Prime Minister's decree.[3][2]
Central level	Supplies	1,000,000,000 FC excluding tax (supplies and ordinary services)	International tender for supplies and services.[3]
Central level	Consulting	500,000,000 FC excluding tax	International tender for intellectual services.[3]
Central level, DGCMP control	All	400,000,000 FC (works), 200,000,000 FC (supplies and services), 100,000,000 FC (intellectual services)	From these amounts the DGCMP checks the award procedure before the decision.[3]
Central level, DGCMP prior review of the dossier	All	600,000,000 FC (works), 400,000,000 FC (supplies and services), 200,000,000 FC (intellectual services)	From these amounts the tender dossier is reviewed by the DGCMP before publication.[3]
Provinces and decentralised territorial entities	All	Set by each province's edict	No national threshold applies: read the provincial edict and the notice.[2][3]

A buyer may not cut a need into small purchases to stay under a threshold and avoid a stricter procedure: this is called splitting (fractionnement). Do not confuse it with lots, which are legitimate and published in a single notice. If the splitting rule seems to be bypassed on a contract, see Challenge a decision.

What next

The procedure says how the buyer sets up the competition, and the type of contract says what you must prove: see Works, supplies, services, consulting.

Types of procedure: open, restricted, quotation, direct award, expression of interest