What is negotiated savings?

Negotiated savings is the difference between a supplier's initial quote and their final price after BAFO (Best and Final Offer) negotiations.

Important: Only awarded items are included in the calculation. Items that were quoted but not awarded do not count toward negotiated savings.

Formula: Negotiated Savings = Initial Value - Final Value

For example, if a supplier initially quotes $10,000 for items you award to them and submits a final offer of $8,500 after BAFO, the negotiated savings is $1,500 (15%).

You can view your negotiated savings in the Negotiated Savings Analytics dashboard.