Comparing supplier quotes: method and criteria

1. Start with a shared requirement

List item references, quantities, units, specifications and required dates before collecting prices. A box of 100 units and 100 individually priced units require a checked conversion. A technical alternative also needs approval.

Set the currency, tax treatment and delivery scope. If two offers use different currencies, document the exchange rate and date; changing a currency symbol does not convert a price.

2. Calculate costs on an equal basis

Fictional example before tax: for 1,000 units, A quotes USD 18 per unit plus USD 900 delivery, totaling USD 18,900. B quotes USD 19 per unit, a 5% discount on goods and delivery included, totaling USD 18,050. B costs USD 850 less despite its higher unit price.

This calculation is valid only if the discount applies to the whole quantity and both offers cover the same requirement. An order minimum, split delivery or bundle discount may still change the result.

3. Keep terms linked to their sources

For each offer, record validity, lead times, minimums, fees, discount scope and exclusions. A blank field means neither zero fees nor no constraint. Ask the supplier to clarify ambiguities and keep the answer with the quote.

4. Compare the plan and explain the choice

Compare buying from one supplier with splitting the order when the requirement allows it. Then check feasibility: required quantities, dates and accepted terms. Price remains one factor alongside quality, risk and continuity of supply.

In BidResolve, you upload documents, review the proposed reading and accept terms before calculation. The plan allocates quantities within the accepted scope; a separate check recalculates its cost and feasibility. Unrepresented clauses still need review and no order is placed automatically.