Procurement glossary

Supplier-selection terms explained in practical decision context.

Use the glossary to distinguish qualification, comparative scoring, landed cost, risk and approval concepts that are often mixed together.

MOQMOQ means minimum order quantity: the smallest quantity a supplier is willing to sell or produce under the quoted conditions.Total cost of ownershipTotal cost of ownership is the broader economic effect of acquiring, using, maintaining and eventually replacing or disposing of a product or service.RFQRFQ means request for quotation: a structured request asking suppliers to provide commercial and technical information for a defined requirement.Residual riskResidual risk is the exposure that remains after existing controls and mitigations are considered.Inherent riskInherent risk is the level of exposure before considering existing controls or mitigation measures.Weighted supplier scoringWeighted supplier scoring multiplies each criterion score by an agreed weight and adds the results to create a comparative total.Supplier qualificationSupplier qualification is the process of confirming whether a supplier meets the mandatory technical, commercial, legal, compliance and capability requirements to remain eligible.Award recommendationAn award recommendation is the documented proposal to select a supplier, supported by the decision rationale, comparable cost, evaluation result, risk, conditions and approval record.

Why terminology matters

Different controls answer different questions.

Qualification asks whether a supplier may remain eligible. Weighted scoring compares eligible suppliers. Residual risk shows what exposure remains. The award recommendation brings those controls together without pretending that one score replaces judgement.

Controlled terminology

VENDECISION uses “system” for the connected decision logic, “kit” for the commercial package, “workbook” for the .xlsx file, “module” for a connected workbook sheet, “stage” for one of the five process phases and “output” for a generated decision artefact.

Next step

Move from supplier data to an approvable decision.

Review the sample output, then choose the licence that matches your intended use.

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