Telling companies who's bid win the project ? 3

[sparky1976]

I need input,

What would you do to tell the bidder that they do not win the project ?

By written letter and send by mail, by email, on phone ?
wich one is more ethical ?

thanks
Pitat

 

[JOM]

Dear Pitat,

I wonder if ethics are really involved. Where is the obligation to advise the bidder of anything at all? If you wish to advise them they lost, what does it matter to you what medium you use? How you advise them and what you tell them is surely a question of how helpful you wish to be to them. I don't see any moral/ethical obligations. Do you think there is an ethical dimension to it? Cheers,
John.

 

[BobPE]

Yamin:

As engineers, we are professionals, and we deal in communication as the base of our profession. What would you want to know if you lost the bid? I would think the price and the winner. Some industries think that keeping thie a secret is a good thing and do not let bidders know this info. It is very helpful in judging the competition and the needs of the client when we know this info. I agree with JOM there is no ethical part to notification as long as when you make a decision to notify, you notify all involved. If you want people to keep bidding on your projects, engaging them with the bid information is a polite and effective way to keep them thinking about your projects and how they can keep prices low for you.

BobPE

 

[TheBlacksmith]

I agree with BobPE; there is no ethical issue, but it is a matter of helping them help you. If they don't know what they're doing "wrong" (why they didn't win the bid), the chances of them improving their proposals is nil and you may lose people willing to bid until you're going sole source every job. Then there is no impetus for the survivor to ever improve or offer you more.

Blacksmith

 

[RDK]

I would think that there is an ethical issue in informing the non successful bidder.

I don’t thing that the method of notifying is important. If it’s a major formal proposal that involved a lot of formality in preparing and submitting then a formal response would be in order. If it’s a simple e-mail or fax proposal then a e-mail or fax would be appropriate. In any case, I would probability phone and advise the non successful bidders right after I advised the successful bidder just so they are not surprised and embarrassed by hearing about it through a third party and then follow up with some sort of written communication.

I would also take the time, if asked to tell the non successful bidders why their proposal was not accepted so that they could make a better submission next time. You do not need to tell the price of the successful proposal, just tell the non successful proposal that it was a price issue.

Be truthful, honest and professional no matter what the reason was for their proposal being unsuccessful. Remember that sooner or later you may need another proposal from them.

Also remember that engineering is a fluid profession. Individuals often change jobs and roles in the industry. There are individuals that I have submitted proposals to, received them from and submitted joint proposals with. This covers several different firms and organizations over our careers.

Losing bids is a fact of business life. What you remember is how you were treated. If treated fairly then you will respond the second time with a well thought out and tightly prices proposal. If you thought that you were treated unfairly then the second proposal will account for this.

These comments apply to proposals for goods and services or for construction activity.

The bidder may be keeping people and other resources available for this project, not committing them to other work and in general in passing up other business opportunities.

Specifically the Manitoba association lists the following as fundamental canons in its code of ethics. (

http://www.apegm.mb.ca/keydocs/ethics/ethics.html#c5)

4. Each practitioner shall uphold and enhance the honour, integrity and dignity of the engineering and geoscientific professions.

5. Each practitioner shall be fair to colleagues and shall support their professional development

I would submit that keeping an unsuccessful bidder would be in the interests of upholding and enhancing the honour, integrity and dignity of the profession and would be simple fairness.

If you do not agree that its an ethical question, that how about simple good manners.

If you were a bidder, how would you want to be treated?
Rick Kitson MBA P.Eng

Construction Project Management
From conception to completion

http://www.kitsonengineering.com

 

[TheBlacksmith]

Rick - I see your point, it may very well be ethics, along with good manners and good business. Treat others as you want to be treated, etc.- very important. As a corollary, when I was in sales, some of my best sales came from being gracious when informed I didn't get the last sale, but I thanked them for the opportunity to submit a proposal. People do remember how they were treated last!

Blacksmith

 

[sparky1976]

Rick,

Thanks, thats very wise suggestion,

again thanks,

Pitat

 

[PM]

Pitat:

I'm not sure anyone answered your question.

I understand your question involves protocol and convention related to communications. I think I'm accurate in saying that all traditions involving communications should be in the same language, media and format as the originator or initiator of the correspondence. So, (unless there is some statutory or contractual requirement to the contrary) if an individual or firm submitted a compliant written proposal / quote in German, you should respond with a short letter of your own in German thanking them for there offer, indicating they were not successful, and if your policy supports it, offering a post mortem or feedback if requested.

I'm fairly confident that there are no ethical obligations related to this however, you should keep in mind that effective communications is in your interest. Responding in a different format, using a different media or language will surely impede a clear understanding of your message.

Regards,