Evaluation
Best Value
An award method that combines technical merit and price rather than selecting on price alone.
Best value methods score technical quality and price together, using a published formula. A common approach converts each into a normalised score and applies fixed weights; another divides technical points by price to produce a value ratio.
The practical effect is that the lowest price does not necessarily win, and neither does the highest technical score. Suppliers who understand the specific formula can make informed trade-offs — under a heavily technical weighting, investing in a stronger team may return more than shaving margin.
Because the formula varies between solicitations, it should be read every time rather than assumed from experience.
Related terms
- Rated CriteriaScored criteria that measure the relative quality of compliant bids, usually on a points scale.
- Lowest Compliant BidAn award method selecting the cheapest bid that meets every mandatory requirement.
- Evaluation CriteriaThe published basis on which bids will be assessed and compared, including how technical merit and price are combined.
See this term in a real tender
Search current federal opportunities and read a live notice with this definition in mind.
This definition describes general Canadian federal practice and is not legal advice. Always confirm requirements against the official solicitation.