A workshop on Quality-Based Selection procurement was held at the Best Western Hotel, Islamabad, on 29 July 2004. The workshop was conducted by procurement specialists from ADB, and was attended by relevant PSO staff as well as ADTA team members. The objective of the workshop was to explain how QBS works.

Peter Robertson of ADB opened the workshop with an overview of the problems that have been encountered in the Quality-Cost Based Selection (QCBS) method. These include lengthy processes, difficulties in financial evaluation, inability to negotiate payments to consultants. The QBS method could address some of these problems.

Saad Abbasi and Sheraz Haider explained the QBS procedure. Unlike QCBS, here short-listed firms only submit technical proposals, which are evaluated out of 1,000 marks. The firm securing the most marks is then requested to submit a financial proposal. During contract negotiations, payments for consultants are open to discussion and alteration. While this gives the PSOs greater flexibility and speeds up procurement, QBS requires PSO staff to have an excellent understanding of the TIP and to play a far more active role in contract negotiations.

After lunch, workshop participants were divided into groups to carry out a practice financial evaluation for QBS. The last session of the workshop covered contract negotiations. Peter Robertson laid out some basic principles for this, e.g. that only one person talks.

The PSOs will be making use of QBS for Second and Third Work Plan procurements. The workshop in Islamabad will greatly help them in this.