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This guide is intended to provide guidance to borrowers on bid evaluation procedures and how to prepare a bid evaluation report to be submitted to the Asian Development Bank, in connection with the procurement of contracts financed in whole or in part from proceeds of its loans.
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This report provides useful information to ammunition managers on the Multiple-Bid Evaluation Model. The purpose of the Multiple-Bid Evaluation Model is to enable management to evaluate the economic and base protection impacts of available alternative solutions for complex procurement actions involving large numbers of multiple bidders, multiple bid levels, and multiple buy periods. The model can be used for single or multiple item buys. The sequence of steps by which the model achieves this objective is as follows: Input data for the model includes the procurement objectives (items, quantities, and time periods), bidder information (all costs associated with selecting a specific bidder), and base protection costs. These base protection costs are total costs of layaway and maintenance of Government-furnished equipment at those facilities which are not selected for a portion of the contract. The data conversion module accepts the verified input data and converts it into usable form for the main processing module. The main processing module uses dynamic programming techniques to identify least-cost and alternative solutions. Dynamic programming is an efficient solution technique for multi-stage problems. In the model, the method used employs an approach in which any two bidders are considered. Then, only those bids made which can enter into the final solution are carried forward as a combination to compete against the next bidder. This procedure is repeated until a final combination is obtained. This final combination represents the least-cost solution.