A consortium allows 2 or more businesses to combine their capabilities when developing and delivering a tender.
The primary driver of a consortium approach is that it allows for greater economies of scale, efficiency and effectiveness.
A consortium can be made up of delivery partners from different industry sectors and this offers a great source of competitive advantage.
Short-term arrangement in which several firms or freelancers (from the same or different industry sectors or countries) pool their financial and human resources to undertake a large project that benefits all members of the group.
How It works
It's not easy being small. Part of the reason that big businesses tend to grow, and small businesses often fail is that big businesses have deep pockets. They also have relationships with other companies that can help bring them opportunities, contacts and support.
TFB or a Business Lead identifies an Opportunity
The Flexie Bench aims to facilitate a collaborative group of agile, trusted Small Business partners that work together on opportunities and assist each other to respond to tender opportunities.
But just because your business is small doesn't mean you can't get in on that action, too. By joining an industry consortium that combines small and large firms in the same industry, you can capitalize on the size of your competitors and industry associates.
helps its members share ideas and benefit from each other’s collective knowledge.
Businesses and Freelancers
Businesses and Freelancers within that sector are invited to express and interest. Shortlisted firms or individuals are invited to the tender overview, to understand the detail requirements.
TFB or a Lead partner will host an overview of a tender they intend to bid for, detailing the skills and resources needed , along with time scales and the size of the opportunity.
Businesses and Freelancers are then invited to express their interest in forming either the consortium or collaboration
Appropriate fees are paid which are for professional profiles creation for your company and members of your team, business credit checks, cultural fit assessment, credibility check, contracts, bid preparation and structure formation)
Facilitated team working sessions
Tender response, and tender presentation,
Project kick off
Deliver and reap the rewards
Pros and Cons
Working in a consortium
A consortium allows 2 or more businesses to combine their capabilities when developing and delivering a tender. The primary driver of a consortium approach is that it allows for greater economies of scale, efficiency and effectiveness. A consortium can be made up of delivery partners from different industry sectors and this offers a great source of competitive advantage.
What are the advantages of working in a consortium?
• A consortium lets its partners share relevant skills, experience and expertise in such a way that every business complements each another (i.e. in terms of the tender roles and responsibility, and in relation to service delivery).
• Being in the consortium will give you the opportunity to access partner experiences or competencies that you might not have, and which you cannot afford to 'buy in' just to secure the contract.
• Other business partners will have unique selling points (USPs) that you do not have. They may have the capability to deliver in other geographical areas or may have access to data that can give the tender submission a competitive advantage over other submissions.
• Sharing your expertise and capabilities, via the consortium, can increase your chances of success at tender evaluation.
• Business partners can share development costs, which can reduce overheads and the amount of resources required of each business.
• Risk can be spread across business partners.
What are the disadvantages of working in a consortium?
• You might find that some contractors are not open to engaging in this type of collaboration to secure a specific tender. This means that a lot more effort will be required at tendering stage to identify potential collaborators and explain why collaborating this way will help to win the tender.
• It takes time to develop a consortium. Where time is an issue, a hastily developed consortium may not be effective and may cause problems for the parent businesses.
• To ensure consistency and quality, a consortium will usually require more resource-intensive management while developing the tender and delivering the contract.
• It is likely that legal advice would be needed to ensure that the structure of the consortium or partnership is 'fit for purpose'.
• If one partner fails to deliver then your reputation may also suffer in terms of future tendering. You may also be liable, depending on what partnership arrangements are in place. If you are the lead partner then you may be responsible for 100% of the liabilities.