Hello Jay,
For 2 envelop bidding process is present with SUS..As we have worked with that scenario and also for 2 bidding purpose you surly require Cfolder/KM (as a storage area) for supplies as well as for your client.For sure configuration/installation are to be maintained/done accordingly for implementing Cfolder.
Please go through below link
http://help.sap.com/saphelp_srm701/helpdata/en/a7/ea98848f574388ab21778ddb306c4b/frameset.htm
http://help.sap.com/saphelp_srm70/helpdata/en/43/143d2e25fc2be8e10000000a1553f7/content.htm
https://scn.sap.com/thread/2079782
It would provide some help.
Regards
Gaurav Gautam