DEFINISI

Inquiry is a bid document (normally, non-technical bid document) developed and sent
by a buyer to supplier candidates (bidder list) of goods or services including a general
item description and quantity, and terms and conditions, etc. (Refer to the Request For
Quotation (RFQ))

Requisition is the procurement document or set of documents that describe technical

information (Refer to the Material Requisition (MR), Request for Quotation (RFQ), and
Inquiry)

Request for Quotation (RFQ) is a bidding document for procurement that is a normally
combined Inquiry (non-technical) and Requisition (technical) document.

Material Requisition (MR) is a procurement document that engineering disciplines

prepared and developed that uses to request materials for technical supplying or
manufacturing requirements: data sheet, quantity, applicable code and specifications,
etc.

Purchase Order (PO) is a type of agreement for the acquisition of material or

equipment or service, or a procurement contract issued by a buyer to a seller. A PO
document includes both parties signature, dates including key milestones, a purchasing
specification, description of purchasing goods or services, a quantity and quality,
performance, delivery timing, prices, payment conditions, and a general and special
terms and conditions.

Bid is an offer or complete proposal in response to an ITB (Invitation to Bid), RFQ

(Request for Quotation), or Inquiry. The Bid includes price, time frame, terms of sale,
and description of goods and services to be supplied. (Called as a Tender (UK) or
Proposal)

Bidder is a potential contractor or supplier to be selected through a bid evaluation

process. (Called as the Tenderer)

Bidder List is a potential equipment or bulk material suppliers or manufacturers list for
the project procurement, and a candidate list of third party company for study, review,
test and inspection, audit, survey, verification, authority approval, and any other
activities which is performed by third party including construction sub-contractors. The
Bidder list is an agreed document between contractor and client (owner) before the
bidder selection work process is commenced.

Bid Evaluation is an evaluation work process to select the successful supplier or

contractor (or subcontractor) among proposed bidders in accordance with bid evaluation
criteria. The Bid Evaluation consists of a Commercial Bid Evaluation (CBE) and
Technical Bid Evaluation (TBE)
Bid Evaluation Criteria includes proposed cost and commercial terms and condition
and other commercial related proposal converted to cost for the Commercial Bid
Evaluation (CBE), and experiences, technical capability, resources and execution plan,
etc. for the Technical and execution Bid Evaluation (TBE). The Bid Evaluation Criteria is
weighted for each evaluation categories including bidder management commitment.
The Bid Evaluation Criteria should be prepared and developed prior to the bid receives. 

Technical Bid Evaluation (TBE) is an evaluation and examination of bidders or

subcontractors' technical bid document or proposals. The TBE includes technical
capability including quality, compliance with specifications, operating cost, and
performance penalties to meet the project requirement as well as execution capability.

Commercial Bid Evaluation (CBE) is the cost and commercial related items or

conditions (e.g. proposed currency, payment method, guarantee and liability, bond and
insurance) comparison table for proposed bidders, contractors, or subcontractors. The
Bid Evaluation is performed based on bid evaluation criteria includes categorized
weighted values including proposal terms and conditions, financial stability of the bidder,
terms of payment, delivery schedule, and price analysis.

Vendor is a supply chain who supply the equipment, tagged item or commodity bulk
material. The Vendor is a successful bidder and contracted as a supplier or
manufacturer or fabricator through commercial and technical bidding process among
approved bidder list to supply their goods for construction.

Supply Chain (SC) is to cover the entire physical process of procurement work from
obtaining the raw materials through all process steps until the final product are
delivered, installed and tested at the site. The Supply Chain includes a source of raw
material, fabrication or manufacture, logistics, expediting and inspection, end-user, and
so on.

Supply Chain Management is managing and controlling the supply chains (e.g. a
source of raw material, fabrication or manufacture, logistics, expediting and inspection,
end-user, and so on) effectively and efficiently to support the project requirement.

Logistics is a term associated with the procurement movement and storage of

procured equipment and materials for construction.

Logistics Management is a work process of the procurement management that is a

part of the supply chain management including logistics planning, implementation, and
control of the produced or procured items effectively and efficiently. The Logistic
Management consist of the transportation for movements, warehouse management for
storage, and information management such as related information from the point of
origin to the point of end user; inbound and outbound movement; internal and external
interfaces for the customs clearances to achieve the timely in its delivery with cost
effective way and meeting the project or contract requirements.
Incoterms are the international commercial terms made by the International Chamber
of Commerce (ICC) that is used in international commercial trading or procurement
processes. The last revision (1999) is named INCOTERMS 2000, and a new revision of
Incoterms, to be called Incoterms 2020. (e.g. Ex-Work; FOB (Free on Board); FAS
(Free Alongside Ship); C&F (Cost & Freight); CIF (Cost, Insurance & Freight); DAP
(Delivered At Place (named place of destination)), etc.)