Chapter 12, Problem 6DQ

Explanation of Solution

Evaluating proposals:

• When an organization wants to select a source or seller for procurement, their evaluation criteria must be very clear.
• Organizations can use weighted scoring model to evaluate proposal as part of seller selection in the following manner.
  • Organization can define a criterion for rating a proposal. The criteria have to be specific and objective.
  • Each proposal is weight on a scale of 1-10, with 10 being the best selection in each category and 1 being the worst
  • A weight is assigned to each criterion to specify its importance in the project.
  • After this totaling, the proposal with the highest score is selected.
  • All the above make the evaluation process fair and consistent.

A Formal proposal evaluation sheet can be used for best seller/source selection...