## Selection of Quotation / Proposal
After tenders are invited, qualifying vendors submit price quotations/proposals to the purchase department, which then selects a supplier.
### The process
1. Receive quotations — vendors meeting all criteria submit prices.
2. Prepare a comparative statement — to analyse and compare all quotations received.
3. Evaluate against key factors (not price alone).
### Key evaluation factors
The purchase department weighs:
- Price
- Quantity available
- Quality offered
- Time of delivery
- Mode of transportation
- Terms of payment
- Reputation of the supplier
### Additional considerations
The purchase manager may also gather information on the supplier's previous performance and financial stability before finalising.
> Purpose: To ensure value for money, reliable delivery, and quality materials through a fair and objective selection process.
> Exam point: Although the L1 (lowest) bidder is often chosen, selection is not purely price-based — quality, delivery time, payment terms and supplier reputation all matter.