Comparing award methods: application in various countries

Bussink, H.A.E. (2014) Comparing award methods: application in various countries.

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Abstract:In the award phase of the tendering process, different award methods can be used. This can either be based on Lowest Price (LP) or one of the Most Economically Advantageous Tender (MEAT) methods. MEAT methods include, among many more, Weighted Factor Score (WFS) and Awarding on Value (AoV). AoV has been developed in the Netherlands to help avoid corruptive practices that have occurred in the past and stimulate innovation (JANSEN ET AL., 2007). The three methods were compared in an empirical study using a questionnaire that was distributed among purchasing professionals across the world. The attitudes towards the three methods were tested based on familiarity, whether they have been used before, likability and considered applicable. While the MEAT methods are better liked compared to LP, the latter is still been used more. We expect that is the case because legal restriction on using MEAT methods. In addition we tested whether Awarding on Value is considered to be more resistant to corruptive behaviour and the variables set for this in the requirements by the European Union. The respondents’ answers on perceived corruption prevention do not significantly confirm this. Also, no significant differences were found in this perception between the Netherlands and Africa.
Item Type:Essay (Bachelor)
Faculty:BMS: Behavioural, Management and Social Sciences
Subject:85 business administration, organizational science
Programme:International Business Administration BSc (50952)
Link to this item:http://purl.utwente.nl/essays/65298
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