Uncertainty in competitive bidding:A framework for product-service systems


Kreye, M. E., Newnes, L. B. and Goh, Y.-M., 2014. Uncertainty in competitive bidding:A framework for product-service systems. Production Planning and Control, 25 (6), pp. 462-477.

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    Owing to servitisation, manufacturing companies are increasingly required to compete through the provision of services around their products. The contracts for these services are often allocated through competitive bidding where the potential suppliers submit a price bid to the customer. The pricing decision is influenced by various uncertainties. This article proposes a conceptual framework depicting these influencing uncertainties on the bidding strategy. This framework is based on three empirical studies with industry investigating different viewpoints on the decision-making process. The intention is to support the pricing decision when competitively bidding for a service contract. The framework can be applied to specific competitive bidding situations to identify the influencing uncertainties, model them and depict their influences on the pricing decision.


    Item Type Articles
    CreatorsKreye, M. E., Newnes, L. B. and Goh, Y.-M.
    Related URLs
    URLURL Type
    Uncontrolled Keywordsuncertainty,bidding strategy,competitive bidding,pricing,decision making
    DepartmentsFaculty of Engineering & Design > Mechanical Engineering
    School of Management
    Research CentresInnovative Design & Manufacturing Research Centre (IdMRC)
    Publisher StatementPaper_UncertaintyFramework_Proof.pdf: This is an Author's Accepted Manuscript of an article published in Kreye, M., L. Newness & Y. M. Goh, 2012, 'Uncertainty in competitive bidding : A framework for product-service systems.' Production Planning & Control, 2012, copyright Taylor & Francis, available online at:
    ID Code31912


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