Auto-Awarding

Auto-awarding allows you to standardize and automate your awarding process for request for quote events. You can define your own rule-based, weighted criteria, and Fairmarkit will review supplier responses to your event and award the response that most closely matches your criteria. With auto-awarding, you'll save time and ensure you're consistently awarding the best response to meet your sourcing goals. You can select to award events for specific buyers or across your entire company.

Important: Auto-awarding is available for Fairmarkit users with integrations that send data back to their purchasing application. Please contact your Fairmarkit Customer Success Representative if you are interested in using automated awarding.

Overview

Auto-awarding allows you to standardize and automate your awarding process for request for quote events.

You can now define your rule-based award criteria and let Fairmarkit award responses based on your terms. When enabled and configured, you can set weights for available bid criteria. Fairmarkit will use the rules to calculate the new lowest price and award the winning supplier.

Note: An event may not be awarded if it does not meet the auto-awarding rules. Some examples of situations where auto-awarding may not be possible include events with service lines, events where a supplier quoted an alternative item, and events where two or more supplier responses are in a tie based on calculations for the auto-awarding rules.

Example

This example illustrates the type of logic that you can now define using the available configurations to weight lead times and business classifications.

Note: This example and included values are for illustrative purposes only. You can customize the actual percentages based on your company requirements.

Without weighing the response, Fairmarkit would usually recommend Supplier 1 based on the price ($185). However, considering the company has lead time weighting and a 3% weighting for a diverse supplier classification, Fairmarkit would award Supplier 2 because after the adjusted calculations, their response has the lowest total price.

Supplier	Classification	Lead Time	Responded Price	Lead Time Weight Calculation	Classification Calculation
Supplier 1		7	$185	185(1+(7/100))= $197.95	197.95*(100-0)/100= $197.95
*Supplier 2	SBA	4	$190	190(1+(4/100))= $197.60	197.60*(100-3)/100= $191.67
Supplier 3		1	$200	200(1+(1/100))= $202.00	202.00*(100-0)/100= $202.00

Benefits

You can benefit from auto-awarding in the following ways:

• Save time by not having to review and select a response to award.

• Be more consistent in awarding your events

• Maintain compliance and diversity requirements.

Would auto-awarding help me?

The following make you a good candidate for auto-awarding:

• Integration: Your events are created via Fairmarkit integration and sent back to your purchasing application.

• Volume: You have at least 100 events awarded via Fairmarkit in the past 3 months

Configuration options

Note: To set or update your configuration options, contact your Fairmarkit Customer Success Manager.

Auto-awarding includes the following configuration options:

• Levels: Select if you want to enable auto-awarding for your entire company or an individual buyer.

• Timeframe: Set an award timeframe, giving you the ability to review and intervene if needed.

• Priority weighting: Collaborate with Fairmarkit to prioritize strategic goals, such as lead time and business classification, in your award decisions, rather than focusing solely on the response with the lowest price.

• Supplier status: Select if you want to award winning responses to non-registered suppliers.