Engineering projects are usually complex and involve high stakes with lot of risks to manage. EPC companies that execute engineering, infrastracture or turnkey projects need to submit proposals against RFPs or tenders called by either public enterprises or private companies. These projects involve complex multi-level bill of materials (BOM), equipment and services most of which need to be sourced from outside the company from multiple vendors.
Based on the type of the project and the location of the project the material and service requirements, quantities and prices would change. Material required might involve both standard items and non-standard items (custom designed and fabricated based on engineering drawings).
Pre-bid Estimates / Quotations:
In order for the company to submit a proposal quoting the total price and the price breakups, it is essential for them to have estimates for most of the items. Unless it is a routine project which they deal with month after month, project engineering, purchase and business development teams need to work together to come up with project estimates that must fall with-in certain percent of variation.
To accomplish this, they would have to rely on their internal price history database or public sources (procurement market intelligence) for standard items, commodities. Plus in most cases, they would need to reachout to multiple suppliers to get quotation estimates, especially for made-to-order items. It is crucial to get quotation estimates and final quotations for all items from multiple vendors on time. This is not an easy task, which involves identifying and qualifying suppliers, floating RFQ/RFPs, clarifications with aggressive followups to ensure quotations/proposals are received in time to compile and prepare for the tender submission.
Once your company wins the project, might need to get final quotations with actual price from the vendors in place of the initial estimates locking down any price changes since the initial estimates.
How to Empower Project Procurement:
SourceRFX makes the whole process a breeze and enables your team short of resources to efficiently manage. Not being able to manage this could make a difference of winning or losing a major project for your company. With SourceRFX it is possible to send invitations to approved vendors and new vendors, make them acknowledge the receipt, track the progress of the quotation submissions and also send reminders with a click of a button.
The ability to receive quotations online instead of hundreds of emails in different file types and formats will be a game changer with instant comparative statements. Allows to quickly collaborate with suppliers on clarifications related to requirement, specifications, prices, terms and conditions through inbuilt collaboration capability tracking all changes and conversations for future reference. Shortlisting suppliers based on quotations, awarding or rejecting automatically notifies relevant contacts maintaining professional communication.
Dynamic RFQ Templates:
Quotations can be emailed or printed based on dynamic RFQ templates with company branding, while maintaining consistency and completeness automatically. Since all RFQs/RFPs floated along with all quotations/proposals received are maintained centrally, it would be easy for future reference and to clone an existing one for a future project.
Project Procurement Services:
Customers needing sourcing assistance could also benefit from the expertise of our network of procurement managers, category managers and project engineers. As a procurement service provider, SourceRFX assist in supplier identification, verification, quotation and order execution related followups, contract negotiation through invoice processing. Providing you with ondemand capacity to handle peak time requirements without having you to increase/decrease employee head count based on projects.