Welcome to the next instalment in our ‘Tender Truths’ series where we explore the key questions, decisions and challenges schools and trusts face when reviewing their catering and cleaning provision and preparing to go to tender.
And in this blog we focus on: the price.
The truth is the cheapest bid isn’t necessarily the best value. In catering and cleaning, the lowest-cost proposal can look attractive on paper, but there are plenty of other factors that determine whether a contract will actually work well in practice.
Look beyond the bottom line
A strong tender evaluation should consider the whole proposition, not just the headline figure.
That means asking:
- What level of service will we receive?
- Is the staffing model realistic and sustainable?
- How strong are the bidder’s compliance and quality processes?
- What will mobilisation look like?
- What management and support will be provided?
- How will the provider improve the service over the life of the contract?
- And, particularly in catering, how will they engage pupils and encourage uptake?
These things all have a value – even if they don’t appear as a simple figure on the tender spreadsheet.
What if one bid is significantly cheaper?
A low bid isn’t automatically a bad bid. A supplier may have a genuinely more efficient model or a different approach that enables it to deliver at a lower cost. But if one proposal is significantly cheaper than the others, it’s worth understanding why.
Are the staffing, pupil numbers or food costs realistic? Is everything included? Can the proposed service genuinely be delivered at that price?
The tender process should test those assumptions rather than simply reward the lowest number.
What does ‘best value’ mean?
There’s no single answer. For one school or trust, it might mean reducing costs while maintaining service levels. For another, it could mean improving food quality, increasing pupil uptake, strengthening compliance or delivering greater innovation.
The key is to decide what matters most before going to market, and make sure the evaluation criteria reflect those priorities.
Need a helping hand?
Going to tender can be a significant undertaking – and knowing what to ask for, how to evaluate the responses and what represents the right solution for your school or trust isn’t always straightforward.
We’ve helped and supported hundreds of schools and trusts with the tendering process, helping them understand their requirements, develop the right approach and evaluate the options to find a solution that delivers the best value for their organisation. Find out more about our tendering support here.
The Litmus team
