Supplier Quote Comparison: Normalize Before Price

Use four comparison states

State	Meaning	Action
Comparable	The field uses the same controlled basis and has no material unresolved scope difference	Place values side by side, retaining evidence and assumptions
Partly comparable	Most of the basis aligns, but a known adjustment or qualification remains	Show the adjustment separately; do not bury it in unit price
Not yet comparable	A required basis or cost component is missing	Request clarification before drawing a price conclusion
Unresolved	Replies conflict or the supplier has not accepted the same requirement	Escalate the question and assign an owner/date

Blank quotation comparison matrix

Copy the table and add supplier columns. Leave missing values as “Missing / not specified”; do not convert them to zero.

Comparison field	Controlled buyer basis	Supplier A	Supplier B	State / follow-up
Specification revision and scope	_____	_____	_____	_____
Quantity and unit of measure	_____	_____	_____	_____
Currency and exchange-rate date/basis	_____	_____	_____	_____
Incoterm rule, named place and edition	_____	_____	_____	_____
Unit price and included scope	_____	_____	_____	_____
Tooling and setup	_____	_____	_____	_____
Samples and approvals	_____	_____	_____	_____
Packaging and labels	_____	_____	_____	_____
Testing, documents and inspection	_____	_____	_____	_____
Payment terms and release conditions	_____	_____	_____	_____
Sample lead time and start point	_____	_____	_____	_____
Production lead time and start point	_____	_____	_____	_____
Quote validity	_____	_____	_____	_____
Declared deviations and unknowns	None assumed	_____	_____	_____

Start with specification scope

Put the exact RFQ and drawing revision in the matrix. Record material, critical component, process, performance, finish, packaging and label deviations. A lower unit price for a different component, thickness, finish, test scope or packaging configuration is a different offer—not a saving on the same product.

Normalize quantity, currency and commercial basis

Use the same quantity break and unit of measure. Capture currency and the date or rate used for any conversion; keep the original quotation currency visible. Record the Incoterms rule, named place and edition exactly. ICC describes Incoterms® rules as allocating specified costs, risks and obligations between seller and buyer, so “FOB” or “DDP” without the required named place and transaction detail is not a complete comparison basis.

Separate recurring and one-time costs

unit price at the controlled quantity;
tooling, mould, fixture, setup and ownership terms;
sample, customization and approval costs;
unit pack, insert, master carton, label, pallet and special-protection costs;
testing, documentation, audit and inspection costs;
freight, insurance, duty, tax, brokerage and other buyer-side landed-cost inputs, if known and applicable.

Do not amortize one-time costs into unit price without showing the volume assumption. Do not enter a missing cost as zero.

Compare payment and time exposure

Payment terms affect cash exposure and release leverage. Record deposit, milestones, balance timing, beneficiary, release evidence and refund/remedy conditions as stated. Lead time needs a start point: deposit, artwork approval, approved sample, material receipt or another event. Separate sample, tooling and production lead times.

Make deviations a first-class field

Require each supplier to declare the requirement reference, proposed change, reason, price/lead-time effect, quality/compliance implication and supporting evidence. Silence is not acceptance. A quotation can remain “not yet comparable” even when a number is present.

Buyer path

Generate one controlled basis with the RFQ Builder.
Enter every quotation as received and preserve the original file and date.
Normalize only with a documented assumption or supplier clarification.
Assign one of the four states to every material field.
Resolve entity differences using Company Entity Mismatch.
Move open technical points into sample approval, evidence review or inspection controls.
Make the award decision outside this table using buyer-owned priorities and authority.

Limitation: a normalized table improves comparability but cannot establish capability, authenticity, compliance, delivery performance or enforceability. It deliberately contains no automated rank, weighted score or “lowest supplier” recommendation.

Supplier Quote Comparison: Normalize Before Price

What this page covers

What it cannot decide

A price is usable only after its basis has a state