Procurement and Contract Law

Procurement and
Contract Law

Table of Contents
INTRODUCTION...........................................................................................................................................3
LO1..............................................................................................................................................................3
Discuss the benefits for JDPi of using a competitive tendering approach (as well as the use of e-
auction) to source the IT system.............................................................................................................3
What common challenges faced by procurement and supply chain managers can be overcame? What
other ways/strategies can be used to minimise those challenges?.........................................................4
LO2..............................................................................................................................................................5
Whose terms and conditions govern the contract?.................................................................................5
What does this mean to the legal rights/obligations of JDPi?.................................................................6
You are required to advise Capgemini UK PLC whether he has any rights in law to enforce JDPi r’s
promise to pay the extra £100,000.........................................................................................................7
LO3..............................................................................................................................................................8
Examine different sourcing approaches that could be used by JDPi to more effectively source IT
systems. What legal aspects need to be considered in these supply chain relationships?......................8
CONCLUSION...............................................................................................................................................9
REFERENCES..............................................................................................................................................10

INTRODUCTION
Procurement contract are the written form of contracts where buyer and seller enter into
the agreement in which buyer shows his interest to buy product in exchange of payment
transactions. Although, in any type of contract there must be consideration but in procurement
contract mainly monetary benefits are provided after acquiring goods or services. Procurement
contract are mainly formed on the basis of requirement of a person or an entity. In context of the
file, one of the case studies has been presented which has a tendering approach. On the basis of
case study, it will be explained that what are the different benefits of competitive tendering
approach in any of the IT system. Along with this, challenges will be mentioned in it. Even there
will be some of the situation where advises will be presented in the file.
LO1
Discuss the benefits for JDPi of using a competitive tendering approach (as well as the use of e-
auction) to source the IT system.
Competitive Tendering Approach can be explained as the auction process in which
number of large institution and investors can show their interest by bidding on the tender price.
This particular process was mainly developed from United Kingdom in the year 1980s. The
major aim behind the enforcement of this respective process was just to reduce overall cost
including improvement in efficiency. The first major example of competitive tendering was seen
in the year 1983 when NHS started to show their interest in competitive tendering (Anchishkina,
2017). In context of JDPi, if they use competitive tendering approach, there will be number of
benefits which they can easily obtain from future period. Some of those benefits has been
mentioned below:
 Competitive Tendering approach will allow JDPi to find best result for the suitable price.
 This particular process will encourage their supplier to deliver them effective services for
future benefits.
 The competitive to rivalry firms can be easily given with the help of competitive tending
approach.