Procurement differs greatly between the public and private sectors. If you are new to procurement, getting your head around the two can be difficult.
We compare both types of procurement below.
How does procurement differ?
Public procurement, also known as public sector procurement, is typically government-sponsored, be it by central or local government.
Private sector tendering, also known as supply chain tendering, works differently from public sector procurement. It is governed by fewer regulations which means it is less restricted.
How is it similar?
Operating according to distinct regulatory regimes is of course one of the most obvious differences between public and private sector procurement; however, that does not mean that private sector tendering is only very lightly constrained. There remain regulations governing private sector procurement, such as laws for monitoring equality and bribery.
As there are nevertheless fewer regulations surrounding private sector tendering, private businesses do not need to offer an equal playing field to potential suppliers.
Private procurement is typically conducted by for-profit organisations; this means that offering the private sector client added value could give your business a decisive edge over the competition.
As private sector buyers tend to be guided chiefly by the profit motive, if you can offer something unique as part of any potential contract agreement then the client may be swayed towards selecting your organisation. Differentiate your business from your competitors. When you are writing a private sector tender bid, always specify the add-ons which are included in your price. Put yourself in the buyer’s shoes and give them the full picture of what your business can offer.
How can Tracker help?
We work with both the public and private sectors. Our Tracker service is the only end-to-end online business development solution powered by the unique intelligence that can help you find, bid for and win more business across both sectors!
Whether you are looking to find public or private sector tenders, request your personal demo now.
Commercial Tenders tool – private sector tendering
Private sector tendering is extremely lucrative. If you are looking to boost your procurement possibilities, supply chain procurement is a great place to start. Find private sector opportunities using our Commercial Tenders tool.
Tracker+ “Commercial Projects” can help your business to find and win private sector opportunities. Gain complete access to over 400,000 planning contracts and 10,000 non-planning projects every year!
If you are currently a Tracker Intelligence customer, get in touch to find out more about Tracker+.
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Last updated on June 17th, 2022
May 25, 2018.