1.

Open bidding
An open bidding is one of the methods used in the public procurement and an open bid is a bid
that can be changed or modified after submission in order to meet competing. The first thing that
comes to mind when thinking of open bidding is advertisement.

Advertisement is one of the procedures of open bidding and it is also one of the first things that
come with open bidding. Generally the bidding will be considered as open because it is
advertised as such by allowing a great number of bidders to competitively participate and there
are five procedure or steps;

A .bidding document: the bidding documents shall contain sufficient information to enable
competition among the bidders to take place on the basis of complete, neutral and objective
terms1.

B. invitation to bid: includes the name and address of the public body, a brief description of the
goods, works or services to be procured, the means and conditions for obtaining the bidding
documents and the place from which they may be obtained, the place and deadline for the
submission of bids, and the place and the time for opening of bids, along with an announcement
that bidders or their representatives are allowed to attend at the opening of bids2.

C. advertisement: invitation to bid shall be advertised in at least one times in national news paper
of general circulation which is published in the language the bidding document is prepared3.

D. submission and receipt of bids: bids shall be submitted in writing, signed and in a sealed
envelope, to the place and before the deadline stated in the innovation to bid4.

E .opening of bids: at the time stipulated in the bidding document for opening of bids, which
should follow immediately after the deadline for submission of bids, the public body shall open
all bids received before the deadline5.

F .examination and evaluation of bids: the public body may ask bidders for clarification of their
bids in order to assist in the examination and evaluation of bids; however, no changes in price,
shall be sought, offered or permitted6.

In general the rule in procurement proclamation is an open bidding because as provided in the
proclamation public bodies shall use open bidding as the preferred procedure of the procurement
so the proclamation gives a method to public bodies to use an open bidding so this is not good
1
. Proclamation no.649/2009(Art.37)
2
Proclamation no.649/2009(Art.36)

3
Proclamation no. 649/2009(Art.35)
4
Proclamation no. 649/2009(Art.41)
5
Proclamation no. 649/2009(Art.42)
6
Proclamation no. 649/2009( Art.43)

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only for public bodies also the purpose of open bidding is a valuable for all others bidders to see
and possibly act upon which means the bidding process is awarded through a competitive open
bidding process or it is the preferred competitive public procurement method which encourages
effective competition.

2. Restricted tendering
Restricted tendering is a procurement method that limits the request for tenders to a select
number of suppliers or service providers. According to proclamation no.649/2009 art 49 public
bodies may use restricted tendering as a method of procurement only where the following
conditions are satisfied: it is a ascertained that the required object of procurement is available
only with limited suppliers; the coast of procurement does not exceed the threshold specified in
respect of restricted tendering in the directives to be issued by the minster; or where a repeated
advertisement of the invitation to bid fails to attract bidders in respect of a procurement subject
to the directive to be issued by the minster. So according to this article we can say restricted
tendering is limited tendering not also limited it is also selective tendering.

The procedures to be followed under restricted tendering are those listed under open tendering
or restricted tendering procedures are the same as those applied in open tendering or like open
tendering, restricted tendering is considered as a competitive procurement method and it is
selective method to find the best and most qualified agencies to procure goods and services. A
restricted tendering a certain conditions warrant the use of a limited number of firms in order to
reduce the time and cost of the selection process.

3. Direct procurement
Direct procurement in away should not be used to avoid possible completion among bidders nor
should it be used to discriminate among them and direct procurement is the act of acquiring raw
materials and goods for production. According to Art 51 proclamation no. 649/2009 of the
Ethiopian Federal government procurement and property administration proclamation public
bodies may use direct procurement only when in absence of competitions for technical reasons
the goods, works consultancy or other required services can be supplied or provided only by one
candidate, and other sub articles are the condition for use of direct procurement.

4. Request for quotation

The request for quotation is a procurement method that is used for small value procurement or it
is a standard business process used to invite suppliers into abiding process to bid on specific
products or service, it is similar to invitation to bid. one of the condition which is stated under the
proclamation for the use of request for quotation is public bodies may engage in procurement by

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means of request for quotations for the purchase of readily available goods or for procurement of
works or services for which there is an established market, so long as the estimated value of the
contract does not exceed an amount stated in the procurement directive to be issued by the
minister.

One of the purpose of request for quotation is the number of quotations received is limited to the
number of bidders quotations were requested from, so the selection process time is also reduced
and the procuring and requesting entities would usually have a pretty good idea of where and
from whom the goods, services or works can be procured, so there’s a higher probability of
response to the request for quotation. Generally speaking it makes the potential for competitive
bidding a lot higher as the suppliers are aware that they are not only ones bidding for the
products.

5. Two –staged bidding

Two staged bidding is used for the procurement of goods and services and this procurement
method is that the submission of proposals takes place in two stages. There are conditions for use
of two staged bidding on proclamation of procurement and property administration 649/2009
which are stated under article 57 also the procedure for two stages building on article 58 of the
proclamation.

6. .Request for Proposals

A request for proposals is a process by which a corporate department or government prepares bid
documents to acquire equipment or services or request for proposal is a method used when
suppliers or services providers are proposing their good and service to a procurement. Request
for proposals are primarily associated with government. According to the proclamation number
649/2009 public bodies may engage in procurement by means of request for proposals when it
seeks to obtain consultancy services or contracts for which the component of consultancy service
represents more than 50% of the amount of the contract. procedure for request proposal are
stated under article 54 of the proclamation so the government may be required to issue request
for proposals for providing full and open completion.

Conclusion
In general the goal of the methods of procurement is to award timely and cost effective
procurement to support government and public services because peoples of a country are
beneficiary of the public procurement or the procurement method system through public goods
and service. In the end we can say at least six modalities of the procurement are recognized by
the proclamation handling legal procedure and the methods of the procurement is valuable to
achieve better transparency, fairness and for supporting government operations because the
services to the citizen is one of the central function of government. The method of procurement

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also encourages effective competition and ensuring the economic and efficient use of public
fund.

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