Supply Management - Essay Example

Further, tendering is an intense process where the government advertises the specific areas that would require procuring. Through bidding, the lowest bidder receives the contract to do supplying for a specified period of time. Therefore, all supplies receive equal treatment in terms of information access, enquiries on specifications, and lastly the responding time to participate in the bidding. However, the winner of the bid also receives further scrutiny to determine whether they are the responsible and responsive lowest bidder that submitted the bid.

They have to prove that they are responsive in relation to effective answering to the questions that the issues of the bid may have. In addition, their responsive nature also applies in their ability to provide samples in good time as per the request of the bid issuer. On the other hand, the winning supplier also becomes responsible because of passing the integrity and desirable background test (UN HABITAT, 2003). In contrast, the private sector operates differently as it uses sample views, interviews with potential suppliers, physical visits to the private site, and using their reference and their credit review.

On the contrary, the private contract investigative agencies where the provision of information is on a confidential basis. In the public sector procurement, the process becomes flawed if the responses received are not clear enough meaning that there none qualifies to receive the tenders on offer .sequentially, the awarding of tenders experiences delay and may start all again till the suppliers comply with the set requirements. This translates to time wastage hence making the suppliers despair and losing trust in the process.

In essence, this serves as one of the outcomes of an ineffective supply and management process by creating sour relations between the two parties. In addition, there exists a substantial difference between the procurement departments in both the public and private sectors in reference to the work force and performance. The latter invests in the workforce by ensuring that there exists competence in task execution, which may not be the situation for the former. For the public sector, it is vital for them to cut on costs rather than accessing quality, which is quite different from the private sectors view.

Therefore, the supplier satisfaction in the private sector deems fit as compared to that of the government purchasing and supplies management. Levels of buyer and seller relationships Over the years, buyer and supplier relationship has been on a transformative path to make transactions between relative easy and effective. Ideally, the relationship between the two had an inclination on reactive and mechanized procurement, which later changed to proactive purchasing. In essence, the reactive form of purchasing implied that one party’s gain would be the others loss.

Later, the transformation process brought partnership between the two where there would be equal benefits. Subsequently, there are three levels of buyer and seller relationships that are the adversarial, barometric and complementary relationships. Ideally, the adversarial relationship has the buyer benefiting more than the seller as they tend to push for more discounts at the peril of supplier (Moser, 2006). Therefore, the focus is solely on accessing lower cost for the buyers desired items of choice hence making