Evaluating goods and services offers over $250,000

The size and composition of the evaluation panel will depend on the nature, scope, value, level of risk and complexity of each procurement process. The evaluation panel assesses the responses received against the selection criteria. Involve the panel as early as possible in the procurement planning process.

Include people with technical and functional specialisations, policy expertise, and knowledge of the business or operational requirements. If they are non-public servants they should not be voting members.

If the Department of Finance is assisting your agency, then the Finance representative must be involved in the evaluation process. This may be as a facilitator or advisor and/or voting member. The Finance representative should not be the chair. 

The team leader/procurement specialist is usually responsible for planning and managing the entire procurement process from start to finish, and often chairs the evaluation panel.  

Also, consider whether it is appropriate in the circumstances to appoint an independent probity advisor.  

If possible, keep the core team throughout the procurement. This way the team will be responsible for assessing the needs, defining the specification of requirements, designing an appropriate evaluation methodology, evaluating offers, providing input into performance standards and measures, and developing service agreement requirements.

Further guidance on the structure and function of an evaluation panel is available in the Procurement Practice Guidelines – Evaluation Panels

The Finance Evaluation Handbook Template provides a format and methodology for rating the responses according to the Request selection criteria.  

The handbook contains an evaluation scoring sheet and comparative price schedule for each of the Respondents. Panel members will individually score each tender submission then meet to reach a consensus view on each response.  

The panel then reaches a consensus about the outcome of the process.  

The evaluation report: 

• must be clearly documented and supported  
• should be a complete account of the evaluation  
• records the reasons for the recommendation  
• explains the passing over of any lower priced offers, and  
• must be able to stand up to independent scrutiny 

Once satisfied with the report, the evaluation panel members sign off on the Evaluation Report. The Accountable Authority or delegate then considers the decision of the report.  

Purchases from a Common Use Arrangement are not exempt from this process unless the relevant Buyers’ Guide states otherwise. 

If the procurement is worth over $5 million (including GST), the evaluation report needs to be submitted to the State Tender Review Committee for endorsement.  

Endorsement provides the public authority with confidence that the process used to select the recommended supplier is robust. If you have a Finance member on the evaluation panel, they can facilitate submission to State Tender Review Committee.