ABSTRACT
The evaluation and selection of external providers is a key stage in the procurement planning process. The process for selection of external providers varies depending on the nature of the products and services to be procured. Pre-qualification is a process for selecting providers for known future work. Qualification is a stage executed to compile a short list of bidders following prequalification. Once the bidders have been selected, an invitation to tender (ITT) needs to be prepared to provide a fixed baseline against which unbiased competitive bids may be made. The re-evaluation may be based on provider performance, duration of supply, quantity, risk or changes in requirements and conducted in addition to any product verification that may be carried out. Monitoring the performance of external providers serves to ensure that the output from the procurement process continually meets the organization's requirements.
