Best Value is a method for evaluating an RFx response that uses more than price to evaluate bids. The definition for Best Value can be found here.
Best Value uses a multi-variable scoring function. Both qualitative (technical requirements) and quantitative (cost analysis) are taken into account when scoring bids. Contracts are awarded to bidder with best combination of price and qualifications
- Best Value replaces Cost per Quality Point for the University of California.
- Contracts may be awarded to a higher-priced bidder, but only if that higher price is justified by a greater qualitative (technical) ability
- Improve odds of successful future performance
- Reduce risk of good or service not meeting expectations or delivery schedule
- Reduce overall costs associated with purchase