Framework agreements are a popular procurement method in the public sector, providing a flexible structure for buying goods, services, or works over a set period. Instead of running separate procurement processes for every need, public authorities use framework agreements to streamline purchasing. However, what really makes these frameworks work is the call-off, which is the moment when an actual contract is awarded to a supplier under the framework.
What is a call-off?
A call-off happens when a buyer, such as a public authority, places an order or initiates a contract under a pre-established framework agreement. While the framework sets out the terms and potential suppliers, it doesn’t guarantee a contract or order. Each supplier on the framework must be ready to respond to call-offs, which are individual contracts issued throughout the framework’s duration.
For suppliers, securing a place on a framework is a great first step, but real success comes with winning as many call-offs as possible. Call-offs can be issued in several ways, including direct awards or through mini-competitions among the suppliers on the framework.
Getting onto the framework agreement
Before you can respond to call-offs, you need to be accepted into the framework agreement. This usually happens through a competitive tendering process where the public authority invites suppliers to submit bids for a place on the framework. The process can be highly competitive, and the terms of the framework are often set for several years, so getting a spot is critical. Here’s how to increase your chances of getting into a framework:
1. Understand the requirements
Every framework has its own specific eligibility criteria, so make sure you thoroughly review all documents and requirements. These might include financial stability, experience in the field, or compliance with regulatory standards. If you’re not prepared or don’t meet the criteria, you risk being disqualified.
2. Prepare a strong bid
Make sure you write a strong bid. Highlight your company’s strengths, experience, and ability to deliver value. This is your opportunity to demonstrate why you should be one of the trusted suppliers included in the framework.
3. Be strategic with pricing
Price plays a significant role in most public procurement processes. However, the lowest bid isn’t always the winner. Make sure your pricing is competitive but sustainable—framework agreements can last for years, so you need to ensure that your offer remains profitable over time.
4. Build a good track record
Having a history of successful public sector contracts or relevant experience can significantly boost your chances of being selected. If you’re new to public procurement, consider partnering with a more experienced firm to build your reputation before bidding for framework positions.
5. Leverage technology
Platforms like Tendium can help you monitor and find framework opportunities that match your business. Using AI-driven tools, you can quickly identify which frameworks are most suitable for your products or services and streamline your entire bidding process.
Types of call-offs
Once you’ve secured a place on a framework, you’ll need to respond to call-offs. These come in two main forms:
- Direct award: If the terms of the framework allow it, a contracting authority may directly award the contract to a supplier, especially if there’s only one that can meet the specific requirements.
- Mini-competition: In frameworks with multiple suppliers, authorities often run a mini-competition to choose the best supplier for the specific order. Suppliers must respond quickly to these mini-competitions to secure the business.
How suppliers can respond to call-offs effectively
For suppliers, responding to call-offs can mean the difference between securing ongoing revenue streams and being left behind. Here are some tips to improve your chances of winning call-offs under a framework agreement:
1. Be ready to move fast
Call-offs, especially mini-competitions, often have tight deadlines. Prepare in advance by having your team ready to respond quickly. Organise your bid materials and ensure all legal, financial, and technical documents are up to date.
2. Use the framework to your advantage
Framework agreements usually outline all the terms, including pricing and service levels, so make sure you’re familiar with the details. Understanding these terms allows you to focus your efforts on showcasing your specific strengths during a mini-competition or direct award.
3. Tailor your response
Even though you’re working within an established framework, it’s crucial to tailor your responses to each specific call-off. Buyers will want to see that you understand their unique needs, so customise your proposals accordingly.
4. Monitor opportunities actively
Framework agreements often run for several years, with multiple call-offs issued throughout the term. Set up alerts or use tender platforms like Tendium to monitor for and manage new call-off opportunities. The sooner you know about an upcoming call-off, the more time you’ll have to prepare a winning response.
5. Leverage your track record
If you’ve already secured contracts under the framework, use that experience to strengthen future bids. Demonstrating proven success in previous call-offs can boost your credibility and help win over buyers in future competitions.
Conclusion
In the world of public procurement, call-offs are where the real opportunities lie for suppliers on a framework agreement. Winning call-offs requires preparation, agility, and a solid understanding of the framework’s terms. By being responsive and proactive, suppliers can turn framework agreements into a steady flow of business opportunities.
To get the best tools for monitoring and responding to call-offs, consider booking a demo with Tendium. Our platform offers AI-driven solutions to help you find, qualify, and win public sector opportunities faster and more efficiently. Book a demo today to learn more!