What are the steps in involved in awarding a contract

 

What are the steps involved in awarding a contract?

 

Contract awarding is the method used during procurement in order to evaluate the proposals taking part and award the relevant contract. Usually, at this stage, the eligibility of the proposals has been concluded. So it remains to choose the most preferable among the proposed. There are several different methods for this, which are obviously related to the proposition method asked by the procurement management.

Least price

This method is the simplest and oldest of all. Under this, the procurement contract is awarded the best price. Some relevant methods are these of examining the overall or in parts and in a total discount in a given price list of on a given budget. One of the proposed Public tenders by the EC.

Most economically advantageous

This is applicable to proposals of different quality within the limits set. Under this proposal are graded according to their price for value and the contact is awarded to the one with the best grade, Similar to this is the grading of the proposals according to time, making the proposals needing less time of implementation seem more valuable. One of the proposed for Public tenders by the EC.

Mean value

The contact is awarded to a bit closer to the mean value of the proposals. This may apply to procurements where numerous proposals are expected and there is a need for market-representing value.

Exclusion of the extremes

Under these methods proposals that are deviating the most from the mass of the proposals are excluded and the procedure continues with one of the above methods.