What is a PQQ and an ITT?

What is a PQQ?

A PPQ is a pre-qualification questionnaire used by buyers when identifying potential clients. It helps the company understand who can meet the requirements of the contract. The PQQ process removes any suppliers that are unsuitable for the tendering process.

The PQQ document focuses on company information, what the company does, and previous examples of working with similar contracts. The document also includes financial, and data-driven questions. The format of the questions is varied with some a “tick box exercise” and some with a few narrative-quality questions.

A PPQ can also be known as an SSQ, a standard selection questionnaire that has the same function.

What areas are you profiled in on your PQQ?

Finances

You will have to provide your cash flow and balance sheet statements to prove that you’re financially stable. This may also include bank references and insurance statements.

Environmental

Being environmentally friendly will be important to most buyers. Therefore, having an environmental policy and having a commitment to reducing your environmental impact is significant.

USP

Showing your competitive advantages is vital as you need to show why you should be picked over your competitors. You must show how you can create value to the buyer which you’re competitors can’t.

Social 

It is important to be a socially responsible business. This can be shown by providing equal opportunities to all and being progressive thinkers.

Case studies

This is where you can use previous examples to prove you able to deal with similar contracts. This is used to demonstrate previous success. 

What is an ITT

An invitation to tender is a formal procurement document that is issued by the buyer, inviting suppliers to bid for the contract. In line with the tendering process, this is the next step after a successful PPQ.

You can receive your invitation through many ways including emails, online portals, and written letters. It is important, you follow the instructions on the ITT with font, word count, and page count for example. 

What would an invitation to tender include? 

Scope of works

A detailed scope of works will provide suitability is correct for both parties. This includes timescales, expectations, and technical aspects. This is very important in construction as this would need surveys, schedules, supply chains, and costs.

Explanation of tender process and instructions

This is mainly focused on how to submit your tender appropriately, along with the rest of the tender process. The buyer will also provide information about themselves and what they expect. Finally, this will include the deadline date for the tender submission.

The criteria 

The criteria are important for the supplier to understand what is expected of them. The supplier should go through this very carefully to understand where they can add value to them compared to their competitors.

How they would measure against the criteria

The buyer will outline how they are going to evaluate each response against the criteria. They will explain the key factors to success which could include price or quality. For quality, you would explain how reliable and innovative your products are, etc but if it was the price, you would explain how your products are valued for money.

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