The new updated Analysis of QBS in the Procurement of Engineering Services finds that QBS provides direct benefits in both the design and construction phases of a wide variety of public and private sector projects. From direct cost and schedule benefits to indirect benefits of reduced management issues and increased innovation, QBS demonstrates a clear benefit when applied across a host of project types, sizes, and geographic regions.
Key Findings:
• QBS outperforms the national performance in cost growth (3 percent versus 6 percent)
• QBS outperforms the national performance schedule growth (7 percent versus 10 percent)
• QBS projects achieve a greater degree of consistency in terms of project success than non-QBS projects
• There is a strong association between the use of QBS and the quality of construction documents developed by the design team
• Projects incorporating QBS have a greater likelihood of producing innovative solutions
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Qualifications-Based Selection (QBS) is a procurement process through which firms compete for work based on experience and technical expertise, rather than competing for the lowest cost bid. Under QBS, after firms are evaluated and shortlisted based on their qualifications, the top-ranked firm is selected for price negotiations, and, ideally, a fair and reasonable price is reached based on a detailed scope of the project. If an agreement on price cannot be reached with the most qualified firm, negotiations commence with the second most qualified firm. In most cases, the top-ranked firm is selected at a price that fits the client's budget.
QBS procurement results in fewer project delays and improves the likelihood of owner satisfaction with the overall project.
QBS ensures complex projects have the best talent by engaging experienced, stable design teams.
When firms have greater opportunity to explore innovations, they can produce better outcomes for clients. QBS enables innovation because price is not the only driving factor.
QBS is the primary procurement tool – even for agencies that experience lean staffing and high turnover.
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