Glossary

The government procurement glossary.

Every tender portal speaks its own dialect of procurement jargon. Here are the terms B2G vendors actually need — defined in plain English.

Abnormally Low Tender

A bid priced so far below the estimate or other offers that it raises concerns about whether the supplier can deliver the contract sustainably.

Addendum / Corrigendum

An official amendment to tender documents issued by the contracting authority, updating or correcting the original terms, specifications, or deadlines.

Bid Bond / Tender Guarantee

A financial guarantee provided with a tender submission ensuring the bidder will not withdraw or modify its offer before award.

Bid Rigging / Collusion

An illegal agreement between competing suppliers to coordinate bids, suppress genuine competition, and manipulate procurement outcomes.

Blacklisting / Debarment

The formal exclusion of a supplier from participating in public procurement for a defined or indefinite period due to serious misconduct or legal violations.

Competitive Dialogue

A procurement procedure for complex contracts where the authority conducts structured discussions with shortlisted suppliers to develop suitable solutions before inviting final tenders.

Conflict of Interest

A situation where a person involved in a procurement has a personal, financial, or professional interest that could improperly influence the procurement outcome.

Consortium / Joint Venture Bid

A grouping of two or more companies submitting a joint tender, pooling capabilities and resources to meet a contracting authority's requirements.

Contract Award Notice (CAN)

The official public notice published after a contract is awarded, disclosing the winner, contract value, and procedure used.

Contract Notice

The official public advertisement of an upcoming procurement, published to ensure transparency and invite supplier participation.

Contract Variation

A formal change to the terms, scope, or price of an awarded public contract, subject to specific rules to prevent circumventing the original procurement.

CPV Codes (Common Procurement Vocabulary)

A standardized EU numerical classification system for goods, services, and works in public procurement, enabling consistent categorization across member states.

Debriefing

A formal post-award meeting or written feedback provided to unsuccessful tenderers explaining evaluation scores and the reasons for non-award.

Direct Award / Sole Source

Procurement directly from a single supplier without competition, permitted only when defined justifications apply under procurement rules.

DUME (Documento Unico di Gara Europeo)

Italy's national digital implementation of the EU's ESPD, submitted through the ANAC e-procurement platform for Italian public tenders.

Dynamic Purchasing System (DPS)

An electronic procurement instrument open throughout its duration to any qualified supplier, used for commonly purchased goods or services.

e-Procurement / e-GP (Electronic Government Procurement)

The use of digital platforms and electronic systems to manage the full public procurement cycle, from notice publication through tender submission to contract management.

e-Signature in Tenders

A legally valid digital signature applied to tender documents to confirm authenticity and consent, required by many e-procurement systems.

EMD (Earnest Money Deposit)

A refundable deposit submitted with a tender in India and certain South Asian markets, equivalent to a bid security or bid bond, demonstrating bidder seriousness.

EOI (Expression of Interest)

A preliminary step where suppliers signal capability and interest before a formal tender, used by buyers to gauge market interest or build a shortlist.

ESPD (European Single Procurement Document)

A self-declaration form used in EU public tenders that lets suppliers state their eligibility and suitability upfront, deferring full documentation until award stage.

Evaluation Criteria / Scoring

The predefined factors and their weightings used by a contracting authority to assess and compare tender submissions before making an award decision.

Framework Agreement

A master contract establishing terms and conditions under which specific purchases are made later, without committing to a fixed quantity at the outset.

Framework Call-Off

An individual purchase or order placed against an existing framework agreement, activating contract terms without running a new full procurement.

GeM (Government e-Marketplace)

India's national online procurement portal for government buyers to purchase goods and services directly from registered vendors, bypassing traditional tendering for qualifying purchases.

GPA (WTO Government Procurement Agreement)

A plurilateral WTO agreement opening government procurement markets among member countries to cross-border competition on non-discriminatory terms.

Incumbent

The supplier currently delivering a contract that is coming up for re-tender, who holds an information advantage but may also face greater scrutiny.

ITT (Invitation to Tender)

A formal document inviting suppliers to submit a complete, priced tender against detailed specifications, typically in restricted or open procedures.

Life-Cycle Costing (LCC) / Whole-Life Cost

An evaluation approach that considers total cost over a contract's life — acquisition, operation, maintenance, and disposal — not just the initial purchase price.

Local Content / Offset Requirements

Procurement rules that require foreign suppliers to use domestic goods, labour, or investment as a condition of winning government contracts.

Lot

A distinct subdivision of a procurement that can be tendered and awarded separately, allowing suppliers to bid for part of a contract.

Lowest Price vs MEAT

The two main award criteria in public procurement: selecting purely on lowest compliant price, versus a weighted quality-and-price evaluation.

MEAT (Most Economically Advantageous Tender)

An award criterion that evaluates tenders on a combination of quality, technical merit, and price — not price alone.

Mini-Competition

A secondary competition held among suppliers already on a framework agreement or DPS, used to award individual call-off contracts.

Negotiated Procedure

A procurement process where the contracting authority negotiates contract terms directly with one or more suppliers, permitted only in defined exceptional circumstances.

NIGP Codes (National Institute of Governmental Purchasing Commodity Codes)

A US-standard classification system for goods and services in government procurement, used by state, county, and municipal agencies.

Open Procedure

A procurement procedure where any interested supplier may submit a full tender in response to a publicly published contract notice.

Performance Bond

A financial guarantee provided by the winning supplier ensuring it will fulfil contract obligations; callable if the supplier defaults.

Pre-Qualification Questionnaire / Selection Questionnaire (PQQ/SQ)

A formal assessment stage where suppliers must demonstrate financial, technical, and legal standing before being invited to submit a full tender.

Prior Information Notice (PIN)

An advance notice published by a contracting authority signalling its intention to procure in the coming months, enabling suppliers to prepare.

Restricted Procedure

A two-stage procurement process where only pre-selected, pre-qualified suppliers are invited to submit a full tender.

Reverse Auction (e-Auction)

An electronic bidding event where pre-qualified suppliers compete by progressively lowering their prices in real time within a set time window.

RFP (Request for Proposal)

A formal invitation for suppliers to submit detailed proposals, including technical approach and pricing, in response to a defined government requirement.

RFQ (Request for Quotation)

A procurement document inviting suppliers to quote a fixed price for well-defined goods or services, used when specifications are already clear.

Set-Aside (SME/Minority)

A procurement policy reserving certain contracts or portions of contracts exclusively for small businesses, minority-owned firms, or other designated groups.

Single-Source Justification

A formal documented rationale submitted by a contracting authority to justify procuring from one supplier without competition.

Standstill Period (Alcatel)

A mandatory pause between notification of the award decision and formal contract signature, giving unsuccessful bidders time to challenge.

Subcontracting

Arrangement where the winning supplier engages third-party firms to deliver part of the contracted scope, subject to buyer approval.

Technical vs Financial Envelope

A two-envelope system where technical and financial proposals are submitted and evaluated separately to prevent price from influencing technical scoring.

TED (Tenders Electronic Daily)

The EU's official online procurement journal where all above-threshold contract notices, award notices, and related publications must be published.

Tender Validity Period

The period during which a submitted tender is binding on the bidder, within which the contracting authority must evaluate and award the contract.

Two-Stage Tendering

A procurement approach dividing the process into an initial conceptual or capability stage followed by a detailed pricing or technical stage, used for complex projects.

UNSPSC (United Nations Standard Products and Services Code)

A global four-level hierarchical classification system for products and services used in UN, World Bank, and many national procurement systems.