Why Fixed Price Persists: The Executive Logic Behind the Oldest Commercial Model
Why organisations continue to favour lump-sum fixed-price commitments despite more flexible commercial mechanisms, and when that preference still makes sense.
Professional knowledge and strategic perspectives across strategy, projects, operations, engineering, transformation and business performance.
9 articles found
Why organisations continue to favour lump-sum fixed-price commitments despite more flexible commercial mechanisms, and when that preference still makes sense.
Why award communications must preserve the exact bargain, authority and evidence needed to move from preferred tenderer to binding delivery commitment.
Tendering should convert business requirements into a defensible market decision. RFI, RFP and RFT processes only add value when they answer the right question.
Why procurement process promises can create exposure before award, and how leaders should govern tender criteria, evaluation and bidder expectations.
Why tender rules, privilege clauses, bidder withdrawal and procedural fairness can create commercial risk before the final procurement contract is signed.
The most rigorously governed decision in procurement is the one that decides least. Qualification fixed the choice set years earlier, against criteria written for other work.
Good procurement governance protects integrity and decision quality without slowing delivery unnecessarily. The design challenge is proportional control.
Why fairness, transparency, confidentiality and auditable decisions protect supplier confidence, competition and long-term commercial value.
Why tender evaluation should begin with the decision the organisation needs to make, then work backwards through criteria, evidence and scoring.