Tenderee vs. Tenderer — What's the Difference?
By Tayyaba Rehman — Updated on August 25, 2023
Tenderee is the entity receiving a bid or proposal; tenderer is the entity submitting a bid or proposal.
Difference Between Tenderee and Tenderer
Table of Contents
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Key Differences
Tenderee and tenderer are terms most commonly associated with the process of tendering in business and procurement. While a tenderee is the entity or individual who receives the tender or bid, the tenderer is the entity or individual that submits the tender or bid.
In a typical tendering process, a company or organization, the tenderee, seeks proposals or bids for a project or product. Companies interested in providing the required service or product, the tenderers, then submit their bids.
From the perspective of the tenderee, they are looking to obtain the best possible proposal for the task or item at hand. The tenderer, on the other hand, aims to present their services or products in the most attractive light to secure the deal.
The relationship between the tenderee and tenderer is often formal, bound by contracts and obligations once a bid is accepted. The tenderee assesses the feasibility, suitability, and cost-effectiveness of proposals, while the tenderer provides detailed information, pricing, and specifications.
Ultimately, the tenderee decides which tenderer's proposal aligns best with their requirements, ensuring the successful execution of the project or delivery of the product.
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Comparison Chart
Definition
Entity receiving a bid or proposal
Entity submitting a bid or proposal
Role in Tendering
Seeks and evaluates proposals
Submits proposals
Objective
To get the best possible proposal
To win the tender or contract
Position in Process
Decision-making entity
Bidding entity
Dependency
Depends on tenderer for options
Depends on tenderee for opportunities
Compare with Definitions
Tenderee
Tenderee is the organization or individual seeking bids.
The city council, as the tenderee, received multiple bids for the construction project.
Tenderer
Tenderer submits bids or proposals to the tenderee.
As a leading software company, they acted as a tenderer for many government projects.
Tenderee
Tenderee evaluates and decides among the bids received.
The tenderee took two weeks to determine the best proposal.
Tenderer
Tenderer aims to provide competitive and compelling bids.
The tenderer spent considerable time ensuring their bid was attractive.
Tenderee
Tenderee sets the criteria for the tendering process.
The tenderee provided specific guidelines to ensure environmental sustainability.
Tenderer
Tenderer must adhere to criteria set by the tenderee.
The tenderer ensured their proposal met all the environmental guidelines.
Tenderee
Tenderee can be from the public or private sector.
In this case, a private corporation acted as the tenderee.
Tenderer
Tenderer risks not being selected after submitting a bid.
Despite their best efforts, the tenderer wasn't awarded the contract.
Tenderee
One to whom an offer or contract is tendered. It is the person, group of people, company or institution who has work they need to be done. They will tender this work out for tenderers to bid for.
Tenderer
A written offer to contract goods or services at a specified cost or rate; a bid.
Tenderee
Tenderee establishes the terms of the contract post-selection.
The tenderee clearly defined payment terms in the contract.
Tenderer
Tenderer may participate in multiple tendering processes.
Being an experienced tenderer, the company had bids in several cities.
Tenderer
To offer formally
Tender a letter of resignation.
Tenderer
(Law) An offer to pay the amount due under a debt or obligation.
Tenderer
Something, especially money, offered in payment.
Tenderer
(Law) To offer (payment or performance) pursuant to an obligation.
Tenderer
One who tenders (a bid, a contract, etc.).
Common Curiosities
Who initiates the tendering process?
The tenderee initiates the tendering process by seeking bids or proposals.
What is the primary role of a tenderer?
The tenderer's primary role is to submit bids or proposals in response to the tenderee's request.
Can a company be both a tenderee and a tenderer?
Yes, a company can seek bids for one project (as a tenderee) and submit bids for another (as a tenderer).
How does a tenderee communicate its requirements?
The tenderee typically issues a detailed document, often called a Request for Proposal (RFP) or tender document.
How binding is a tenderer's bid?
Once submitted, a bid is usually binding, and the tenderer is expected to honor the terms if selected.
Does the tenderee always accept the lowest bid?
No, the tenderee considers various factors, not just price. Quality, experience, and feasibility also play roles.
What can a tenderer do to increase its chances of winning a bid?
A tenderer should ensure compliance with all requirements, offer competitive pricing, and showcase experience and expertise.
What happens if the tenderee isn't satisfied with any bids?
The tenderee may choose to reject all bids and either re-tender or reconsider the project's scope.
Can a tenderer withdraw its bid?
Typically, bids are binding for a specified period. Withdrawing may lead to penalties or loss of deposit.
How does the tenderee ensure fairness in the selection?
Tenderees often have transparent evaluation criteria and may involve third-party audits or oversight to ensure impartiality.
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Written by
Tayyaba RehmanTayyaba Rehman is a distinguished writer, currently serving as a primary contributor to askdifference.com. As a researcher in semantics and etymology, Tayyaba's passion for the complexity of languages and their distinctions has found a perfect home on the platform. Tayyaba delves into the intricacies of language, distinguishing between commonly confused words and phrases, thereby providing clarity for readers worldwide.
