This is where the tender with the highest technical score is awarded the contract, so long as they are within budget. This type of evaluation is rare and is normally used where the solution is highly technical or complex.,
With this mechanism, the budget must be stated in the tender documentation. Note that the budget here must be expressed in NPV terms in order to be comparable to the cost figures you will have for each tender. You must include the following words in Section D of the DEFFORM 47:,
The contract shall be awarded to the tender with the highest non-cost score that is within budget.
The budget for this procurement is £XXX, XXX.00. Any tenders received that are in excess of
this budget will be automatically deemed non-compliant.
Where you use this method, evaluation of the commercial element is usually a simple PASS / FAIL test. The technical elements are scored, and if necessary, weighted. When using this method you must state the minimum non-cost score and any tender below the score (in this example 60) will be considered non-compliant.
You may score any technical considerations, such as quality, safety, sustainability so long as you stated this in the original tender documentation. The successful tender is the highest scoring tender classified as ‘commercially compliant’ within the stated budget.
This mechanism can be combined with a Type B Reverse Auction, which, instead of allocating a cost to the elements missing from the technical solution, awards nominal price discounts based on the strength of the technical solution (either a percentage or price discount can be awarded).
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