Technical Bid Evaluation Criteria and Vendor Offer Review (with PDF)

What is Technical Bid Evaluation(TBE)?

Technical Bid Evaluation or TBE is the organized evaluation and examination process of the vendor’s technical bid documents or proposals from the technical requirement point of view. For all items, a Material Requisition (MR) document is prepared and sent to several vendors stating the requirements for any item on a specific project. Based on availability and experience different Vendors provide their bid or offers. All these offers need to be reviewed before selecting the final vendor. So, TBE or Vendor Offer Review is an important step before final procurement. This article will provide a sample guide on the general activities to be carried out during Vendor offer review, TBE (Technical Bid Evaluation) & Vendor drawing Review:

Guide for Vendor Offer Review

The following points to be checked during the Vendor Offer Review of any item.

  • Offer to be reviewed with respect to Material Requisition.
  • The vendor should be listed in the list of Approved Vendors by Client.
  • The manufacturer location shall be as per the Approved Vendor List.
  • Scope & Interface clarity to be checked.
  • Vendor to stamp and comply with MR (Material Requisition), Specification & Table of compliance
  • Technical queries preparation.
  • Check whether the vendor is taking any Deviation with respect to MR.
  • Ensure that the Vendor shall comply with all inhouse Specifications, Guidelines, Procedures, Work Instructions, and International Code & Standard requirements.
  • Design Change to be covered as part of TQ (Technical Queries).
  • Response to Vendor TQ clarification.
  • Vendor Clarification Meeting, if required.
  • Close all Technical Queries (TQs) & clarifications.

Guide for Technical Bid Evaluation

While performing TBE, the following points to be considered.

  • Compile all vendor offers into one document (excel sheet of some other document).
  • List down all the requirements of MR& Specifications.
  • Attach all the Technical Queries, Justification letters, Deviation & Clarification list.
  • All vendor deviations to be approved by the Client.
  • Delivery time to be mentioned.
  • Technical Acceptance or Rejection against each vendor to be mentioned.
  • Issue TBE for Client Comments & Approval
  • TBE (Approved for Purchase) to be issued to procurement for Commercial Acceptance.
  • After finalization of Vendor, Purchase Specification to be issued to a particular vendor

Guide for Vendor Drawing Review

The following points to be kept in mind while Reviewing the vendor drawings

  • Vendor drawing to be reviewed with respect to Purchase Specifications.
  • Any design change at this stage will be an additional activity to Vendor which may incur an additional cost.
  • Drawings to be reviewed based on technical requirements and to be commented on accordingly.
  • Normally each organization has its own checklists for vendor drawing review and those to be followed with close attention to avoid any major mistake.
Technical Bid evaluation of Equipment
Various Types of Equipments for Review

Types of Equipment, Packages & Piping Components that are normally reviewed

Static Equipment

  • Storage Tanks
  • Heat Exchanger / Air Cooler
  • Knock-out drum
  • Vessels
  • Columns
  • Heaters
  • Reactors
  • Filters

Rotating Equipment

  • Gas turbines.
  • Steam turbines.


  • Compressor package
  • Flare package
  • WTP package
  • Separator package

Mechanical  (Static & Rotating) discipline will be the Lead for Vendor offer review, TBE &  Vendor drawing review for Static / Rotating Equipments & Packages.

Piping will provide inputs to mechanical.

Piping Components

  • Pipe, fittings, flanges, gaskets & bolts/nuts
  • Valves (Gate, Globe, Ball, Butterfly, Check, Relief valve, etc,.)
  • Strainers (Bucket, Tee, Y-type strainer,etc.,)
  • Steam / Drain Traps
  • Couplings / Other Special Items

Piping will be the Lead for Vendor offer review, TBE &  Vendor drawing review for Manual valves, Relief valve, Piping special Items.

Valves (Gate, Globe, Ball, Butterfly, Check, Relief valve, etc,)

  • Vendor to comply with MR, mandatory requirements.
  • TQ preparation
  • Review of TQ response from Vendor.
  • TQ-2, if any.
  • Review of vendor deviation, if any.
  • The vendor should comply & stamp on the table of Compliance.
  • Pressure Testing requirements to be checked.
  • Painting requirements to be marked with respect to line design parameters.
  • For the Full Bore valve requirement, Valve ID to be check.
  • Fire Safe Design requirements to be checked for soft seated valves.
Sample format for TBE, Vendor offer Review
Sample format for TBE, Vendor offer Review

Piping Inputs to Vendor Packages

  • Vendor to perform the engineering of interconnecting piping between all internal skids of Package.
  • Vendor shall perform the stress analysis/ calculation, and other required engineering for interconnecting piping between all skids of Package (for example GRC Package-LR Compressor, Air Cooler, Sealing, Drums, etc)
  • The vendor shall provide maximum allowable forces and moments at the interface flanges.
  • Vendor to provide Piping layout drawings, Isometrics drawings for all Interconnecting piping between all skids of Package.
  • Vendor shall comply with the Client/ In-house Piping Specification & Shell Standard Piping Class
  • Vendor to provide Proper access / Platforms / Ladder for Maintenance and Operation of GRC Package.
  • Vendor to comply with all client requirements.
  • Vendor to comply with the client Specifications, Guidelines, Procedures, Internal Codes & Standards, requirements as stated in MR.
  • Location & Available Area for the Packages

Piping Inputs to Static Equipment

Storage Tanks

  • Nozzle Orientation, Staircase Orientation & Elevations.
  • Allowable Nozzle forces & moments on the tanks shell nozzles shall be calculated as per API 650 annex. P
  • Allowable nozzle load on any process nozzles on the roof shall be analyzed using FEA method
  • Pipe Support Cleat Orientation & elevations.
  • Piping loads at supports taken from Tank Shell / Roof.
  • Platform Access requirements for Rooftop Nozzles
  • Underside elevation of the tank.
  • Tank & piping Interface details

Heat Exchanger / Air Cooler / Vessels

  • Nozzle forces & moments
  • Piping Interface details
  • Sliding support requirements in case of Tube heat exchanger
  • Nozzle location & elevations.
  • Vendor to comply with the Nozzle Minimum forces & moments as per DEP Unfired Pressure Vessels
  • Pipe Support Cleat Orientation & elevations.
  • Piping loads at supports taken from Equipment Shell / Roof.
  • Platform Access requirements for top Nozzles

Piping Inputs to Rotating Equipments


  • Design and engineering for Interconnecting piping between Fluid Coupling, Flushing Plan, Seal Plan, and Cooler.
  • Piping Interface flange connections shall be as per ASME B16.5.
  • Confirm nozzle allowable loads shall be 2 times the loads as indicated in Table 5 “External nozzle forces and moments” of API 610.

Few more resources for you…
Piping Design and Layout
Piping Stress Analysis
Piping Materials
Piping Interface

Further Studies

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Anup Kumar Dey

I am a Mechanical Engineer turned into a Piping Engineer. Currently, I work in a reputed MNC as a Senior Piping Stress Engineer. I am very much passionate about blogging and always tried to do unique things. This website is my first venture into the world of blogging with the aim of connecting with other piping engineers around the world.

2 thoughts on “Technical Bid Evaluation Criteria and Vendor Offer Review (with PDF)

  1. This is very useful! I’m happy I spotted your post because it’s better than similar posts I’ve read from everyone else about this subject. Can I ask you to clarify some things? Maybe give another example? Thank you!

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