QBS and Best Value Processes

The choice between Qualifications-Based Selection (QBS) and Best-Value (BV) procurement methods is an important one to make when considering cost. Both processes are meant to help secure the most suitable contractor, but they do so through different approaches. Drawing on Hegarty's (2011) guide on developing engineering proposals, Harrison's (2015) discussion of procurement pitfalls, and Alleman et al.'s (2017) comparative study on QBS and BV procurement, this paper discusses the methods and explains why QBS is the better approach.

Qualifications-Based Selection (QBS)

QBS is a procurement process where the focus is on the qualifications, expertise, and past performance of the bidders rather than the price. Hegarty (2011) advocates for QBS as the preferred approach because it focuses on long-term project success; it looks at the most qualified professionals for the job?. Price-focused decisions can lead to inferior outcomes; for example, cutting corners during the planning phase can later lead to problems that end up needing more capital to solve, thus inflating overall project costs. Hegartys (2011) argument against price-based selections stems from the notion that it ends up with a kind...

Likewise, Harrison (2015) argues for QBS because it offers better fraud protection (bidders have to prove their worth) and it is simply an easier approach (experience speaks for itself and streamlines the process).

In contrast to Hegartys clear preference for QBS, Alleman et al. (2017) approach the subject by...

…be going into the best hands.

Overall, Hegarty (2011) and Alleman et al. (2017) both note the risks associated with price-driven decisions in engineering projects, with Hegarty providing practical advice on how to avoid the pitfalls of poorly designed RFP/Q processes??. Although BV procurement may offer the allure of cost savings, its potential for cost overruns and lack of innovation makes it a less desirable option for projects that require contractor input during the design phase. The emphasis on qualifications, as seen in QBS, and as noted by Harrison (2015) helps agencies select contractors based on their expertisewhich should be what matters. Is it fair to new players? Nobut maybe new players should not be bidding on government contracts until they get…