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 There are different kinds of services that consumers use every day. There are common and often used services based on the convenience and location such as dry cleaning services, cab services and so on etc.

There are also specialized services that a consumer makes an informed and calculated choice about them.

Consultancy services also fall in this category, i.e. Studies, Training, Advise, etc.


Definition of Terms


  1. Consultancy Services

This refers to a procurement category focusing on the hiring of firms or individuals to provide services that are primarily intellectual in nature.

2.       Proposal

It is a response from a supplier, contractor or service provider to a solicitation on request that if recommended for award would bind the supplier.

3.       Scope of Services

It describes the services required and that need to be carried out in order to fulfil the contract requirements.

4.       Selected Consultant

This is the consultant firm or individual recommended for a contract award as a result of the evaluation of proposals or applications received in response to a request for offers.

5.       Terms of Reference

This is a document that defines all aspects of how the consultant or a team will conduct an evaluation.

6.       Request for Proposal

This is the procurement process usually used when the requirement has been defined but when an innovative or flexible solution is sought.

7.       Expression of Interest

 A process used to shortlist potential supplier, contractors or service providers before then seeking detailed bids from the shortlisted tenders


Characteristics of Consultancy Services.

  1. They are very

This is where a customer walks in and gets what they want done and then leaves. The consultant will be one on one with their client, offering information and solution. It is of importance that a consultant be, and present themselves as being experienced, practical and effective in the consultation they are offering.

2.       Direct influence on the decision that clients make and the final outcome.

They rely completely on the accuracy, proficiency and opinion of the consultant. Therefore, wrong or inaccurate information can have a very negative impact to the detriment of both the client and the consulted.

3.       The yardstick of success is total satisfaction.

In other sectors, it is a sale figure and reports of customers that count. Here it is the total satisfaction of every client that counts. Some clients consult only once while others do so periodically e.g. If a client goes on to achieve financial success after working with a financial consultant, then the consultant can count themselves successful. Just one unsatisfied client can bring down a practice that was thriving.

4.       A consultant basically does the work on behalf of the client.

Since a financial consultant will have to always be on top of trends e.g. the best investment to make, the stocks to drop because they look set to slide and which ones to pick up because they are on the rise.

5.       Consultant is a means to an end.

The client goes in for a service from a consultant, gets it and leaves. As a consultant, you are the actual bridge between what a client wants and how they will get to it.


Differences in Procurement of Goods and Consultancy Services

Some of the substantial differences between goods and consultancy services are the following:

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