A multi-stakeholder consortium for each major project should prepare and conclude a consortium agreement reflecting its chosen structure and regulating the relations between its members for the duration of the project. However, in a competitive situation, it may not be profitable for the consortium members to negotiate and agree from the outset on the terms of a detailed agreement. If the consortium`s bid fails, the time and costs of a detailed agreement would be wasted. In the above case, the work on the pre-bid agreement ensured that all consortium members were able to follow the tender procedure on a „no surprises” basis, with a common view on how to manage each step of the process, which gave the project manager the confidence to continue within a tight deadline. While investments were made in advance in this process, this ultimately meant that members were organizing themselves properly in order to meet the deadlines of the tendering process and avoid problems that arose after the bid was submitted. Preparing a pre-bid agreement can help members in their planning phase by engaging on important topics before the bid submission date. In particular, it can help them decide how they will cooperate most effectively to win a tender procedure and what process should be followed after the submission of the tender, without having to spend as much time, effort and money as necessary to negotiate and conclude in advance the terms of a more detailed consortium agreement. When preparing a pre-bid agreement, members should consider the following issues: a pre-bid agreement generally applies only during the period from which members first meet in a consortium to prepare and submit a bid until that consortium`s bid is successful (on that date, the pre-bid agreement would generally be replaced by a more detailed consortium agreement; to apply for the duration of the project) or unsuccessful (in which the bid of that consortium is either successful (at that time, the pre-bid agreement would usually be replaced by a more detailed consortium agreement for the duration of the project) or unsuccessful (e.g. in case of withdrawal of the consortium agreements). The content of a pre-bid agreement will ultimately reflect the needs of the parties and the structure envisaged by the consortium. The project was very extensive and the timing of the tender procedure was very tight. A pre-bid agreement was prepared and implemented by the members to ensure that everyone understood and agreed on how the consortium would handle the bid process in such a tight period of time. This includes determining how the guidelines of the proposed head contract would be agreed, how negotiations with the procuring entity would progress in the event of selection, and how and when its own formal consortium agreements would be implemented.
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