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09 Jun 2012 11:17 GMT • 2 responses
Hurdle/Minimum Score for Technical/Unpriced evaluation and its application on Commerical Evaluation
Does any one use the technical or unpriced evaluation score impact on commercial evaluation, especially on Hurdle/Minmum Score unpriced evaluation methodology is followed? If so how it is applied?
I want to know, when the cut off mark is some time as low as 60% and some vendor's score as high as 95% as oppose to lowest score of 60%. Often the commercial offer is opened from any company that crosses the minimum cut off margin and once opened the low bottom liner is the winner. The best unpriced offer may not be lowest commercially. Please enlighten.
13 Jun 2012 09:22 GMT
1. Technical and commercial proposals are submitted separately; open technical first and evaluate against a pre-set criteria (i.e. execution plan, personnel, subcontractors).
2. Each section must meet a minimum threshold of 60 or 70 percent and the overall must total 70 percent to be technically compliant.
3. Then open commercial and lowest cost wins.
We use the RFI process to add the appropriate rigour and eliminate any company that we would ultimately not want to contract with based on this RFI; this EPC RFI is robust and is almost like an unpriced technical proposal. The market has actually called it that too because of the rigour behind it and the level of technical questions asked without asking do pricing.
So for this RFI we have 15 sections: standard pre-qual (which is go / no-go), additional HSSE (our biggest risk) qualifications (congruency with approved Ts and Cs), facilities and resources, quality, engineering, operations readiness, local content, procurement, etc.
All these sections have rationale for each question, weighting, scoring criteria.
The overall score must then be calculated at 75 overall (except go / no-go sections) in order to pass the qualification
13 Jun 2012 09:27 GMT
I’m not sure exactly what the question means. We do split commercial and technical evaluation and we do score them separately and the winner is the bidder with the best overall score. In the technical evaluation we price deviations and the like in order to level the field. I’m happy to try to work this out with the questioner if you indicate you would welcome a conversation.