Negotiation
(Most
important short notes question for General Expenditure paper)
·
What is the meaning of Negotiation in general
? Discussion aimed at reaching an agreement is called Negotiation.
·
In Indian Railways Works tenders, Selection of contractors by
Negotiation is an exception rather than rule.
·
Normally, L-1 who is lowest, valid, eligible and technically
acceptable tenderer would have been awarded the Contract, if the rates were not
unreasonably high.
·
If rates were unreasonable high, decision whether to invite
fresh tender or to negotiate with L-1 should be taken by the Competent
authority on the recommendations of the Tender committee.
·
Negotiations with Tenderers other than L-1 are not permitted.
·
Further the rates originally quoted by L-1
shall remain open for acceptance in the
event of failure of negotiation
·
While conducting negotiations with tenderers
and obtaining revised rates and recommending the same for acceptance, the tender
committee should ensure that the fundamental requirements of safeguarding
Railway’s financial interest have been fully observed.
·
The above instructions may not be applied
rigidly to tenders for specialized works or equipments where tenderers may quote
according to their own specifications and designs for various reasons such as
improvement in technology etc. and it may become necessary to discuss technical
and other details with them to select the most suitable offer.
SUMMARY -
NEGOTIATION
1.
Means Discussion for securing better rates.
2.
Exceptionally used.
3.
Used when rates are reasonably high and
decided not to go for re tender.
4.
Negotiation with L-1 tenderer
only.
5.
Decided by Competent Authority
on the recommendation of Tender Committee.
6.
Original offer of L-1 Tenderer remains open
for acceptance, in case Negotiations are failed.
7.
The above instructions normally applied to
works of specialized nature or equipments.
8.
Overall, ensuring the safeguard
of Railways financial interest.
***