Sourcing & Tender
Power & Utilities
Value Creation
Case Study · In Depth
Strategic Sourcing & Tender Evaluation
A utility's tender evaluation process relied on incumbent pricing history with no independent view of what the category should actually cost.
The Challenge
Guesswork
Bid evaluation came down to comparing supplier quotes against each other, with no should-cost baseline to know whether any of them were actually competitive.
Our Approach
Should-Cost, Sharper Criteria
We built an independent should-cost model for the category and rebuilt the tender evaluation criteria around it, so every bid could be measured against a real target, not just each other.
The Result
~30%
Final contract cost landed roughly 30% below where the original tender process was heading.
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