Tender Assessment

This page is an extract from the full topic guidance on Tender Assessment [117KB PDF]. It details any Constraints associated with tender assessment, provides a summary of the Authoritative Guidance and lists any essential reading, further reading or associated documents.

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Constraints

The European Community (EC) Public Procurement Regulations apply to Ministry of Defence (MOD) contracts unless the nature of the work qualifies for an exemption. Reference must be made to the EC Public Procurement Regulations topic for detailed guidance on the mandatory procedures to be followed in respect of tenders subject to these Regulations.

Authoritative Guidance Summary

When handling tenders, acquisition teams must take account of the need to secure the best value for money, act in a publicly defensible manner, preserve strict equity between all tenderers and observe the commercial confidentiality of tenders and other information supplied to MOD.

Specific tendering procedures apply to United States of America (USA) procurements. See the Procurement From the USA topic for detailed guidance.

A Tender Assessment Panel should evaluate tenders. This Panel may be a group of various project team members split into sub-panels to evaluate different aspects commercial, technical, financial; with commercial aspects under the oversight of the commercial officer.

MODs primary objective is to choose the compliant tender offering the best value for money solution. If there is any doubt as to whether a competition has been genuine and effective (e.g. only one tender is received) new tenders should normally be sought.

A decision to consider late, incomplete or amended tenders must be taken by a commercial officer at Band C1 level or above or by a commercial officer at Band B2 level or above if the authority to place the contracts in question is within the powers licensed to the commercial officer at Band C1. The principles to be observed are outlined under Authoritative Guidance.

A decision to accept or decline a tender on the basis that the price is considered to be unrealistically low must be supported by a written business justification and endorsed by a Band B commercial officer, or higher authority as necessary, following the procedures outlined under Authoritative Guidance.

If a compliant tender from a company owning the design rights offers a price that is higher than that offered in the lowest compliant tender, and he is given the opportunity to review his tendered price, the same opportunity should be given concurrently to other compliant tenderers.

Innovative tenders should not be rejected out of hand on the basis of non-compliance. MOD should be prepared for Industry to challenge its perception of essential aspects, where this may lead to a more cost effective solution.

Software development tenders should be supported by a DEFFORM 143 - Computer Software Development Questionnaire. Failure to provide this should not in itself be grounds for treating a tender as non-compliant, but it may reduce confidence in the tender.

Use of tender assessment tools is not mandatory but examples available are Pre-Contract Award Evaluation (PCAE), Soft Issues Bid Evaluation Tool (SIBET), Multiple Attribute Choice Elucidation (MACE) and AWARD are addressed under Authoritative Guidance.

There are two distinct types of iterative tendering, 'Revise or Confirm' tenders and 'Best And Final Offers' (BAFOs). Both should be used selectively. The principles to be observed are outlined under Authoritative Guidance.

Post Tender Negotiations (PTNs) are intended to improve, in value for money terms, the tender submitted by the leading tenderer. The decision to enter into PTNs should be taken by a commercial officer at Band C2 or above and the principles to be observed are outlined under Authoritative Guidance.

Essential Reading

EC Public Procurement Regulations topic

Tender Assessment

Constraints

Authoritative Guidance Summary

Essential Reading

Further Reading

Change History