Multi-criteria bid evaluation of public projects

Abstract

Local and national Governments must deliver the public facilities that citizens need and, at the same time, select private firms that are able to build these facilities according to the best possible compromise between available resources (money, time...) and the quality of the required work/service. Consequently, multi-criteria evaluation schemes, such as the Most Economically Advantageous Tender (MEAT) scheme, are often used by tendering committees in public projects. The used procedure has to meet the requirements of full transparency and to assure competitiveness among bidders. Many MEAT award related models have been proposed in the specialized literature. This paper presents a classification of these models. Their strength and weakness are illustrated. The assessment of some of these models builds upon their application to an example of public procurement. The presented analysis can be used by Governments and public firms in the selection of the tendering mechanism that best meets their requirements, needs and expectations in bid evaluation.