What is non-price bidding in SAP PSM-GPR - Procurement for Public Sector?

SAP Term: non-price bidding

• Component: PSM-GPR

• Component Name: Procurement for Public Sector

• Description: A bidding process that allows bids to be evaluated on purely technical and administrative grounds without reference to price.

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• Key Concepts: 
  Non-price bidding is a procurement method used in the Public Sector Module of SAP (PSM-GPR) that allows for the evaluation of bids based on criteria other than price. This method is used when the lowest price is not necessarily the most important factor in determining the best bid. 
  
  How to use it: 
  In order to use non-price bidding, the buyer must first define the criteria that will be used to evaluate bids. This can include factors such as quality, delivery time, and service level. Once these criteria have been established, the buyer can then evaluate bids based on these criteria rather than just price. 
  
  Tips & Tricks: 
  When using non-price bidding, it is important to ensure that all criteria are clearly defined and communicated to all bidders. This will ensure that all bidders are aware of what is expected of them and can make an informed decision when submitting their bid. 
  
  Related Information: 
  Non-price bidding is just one of many procurement methods available in SAP PSM-GPR. Other methods include reverse auctions, sealed bids, and open tenders. Each method has its own advantages and disadvantages, so it is important to consider which one is best suited for your particular procurement needs.