1

MODULE OUTLINE

I. Introduction to Technical Specifications Writing

I. Specifications Writing for the procurement of
Goods;
I. Specifications Writing for the procurement of
Infrastructure Projects; and
I. Specifications Writing for the procurement of
Consulting Services.

2
 MODULE OBJECTIVES
At the end of the Course, participants will be able to prepare
technical specifications with clarity, conciseness and admissibility
for procurement activities. In particular they will be able to
understand:

• Types of methods used in the formulation of technical

specifications (performance, functional and physical/design
description).

• The importance of technical specifications for the successful

completion of the procurement process.

• Sources available for compilation of technical specifications.

3
 INTRODUCTION TO
SPECIFICATIONS WRITING

4
 INTRODUCTION TO TECHNICAL
SPECIFICATIONS
• The preparation of clear and unbiased technical specifications of the
procurement requirements is indispensable for the successful completion of
the procurement process and the award of contract.
• Technical specifications form the basis for fair and defensible bid evaluation.
• There are three (3) types of specifications for Goods/Works and non-
Consultancy services:
• performance specs;
• functional specs; and
• physical description/design specs.

• Technical Specifications are replaced by the Terms of Reference – ToR in

consultancy services’ competitions.
• Technical specifications incorporating social and environmental considerations
may be used in the pursuit of sustainable public procurement (SPP)

5
 INTRODUCTION TO TECHNICAL
SPECIFICATIONS
What is “Technical Specifications”?

Technical specifications means the totality of the

technical requirements contained in the dedicated part
of the procurement documents, defining the
characteristics required of a service to be performed, a
material or product to be supplied or works to be
constructed, and thus permitting these to be described
such that they fulfill the use for which they are
intended by the Procuring Entity.

6
 INTRODUCTION TO TECHNICAL
SPECIFICATIONS
Technical Specifications refers to that which:
• communicates to the prospective supplier, contractor or
service provider what the Procuring Entity requires;

• serves as the heart of the resulting contract;

• establishes the standard against which inspections, test

and quality checks are made;

• directly affects the quality and performance of the items

purchased, works constructed or services provided and
the price paid.

7
 INTRODUCTION TO TECHNICAL
SPECIFICATIONS
Purpose of Technical Specifications

Via the Technical Specifications the Procuring Entity:

• states the needs to be satisfied by the procurement,

• defines what it wishes to buy; and

• defines what the bidder is expected to supply or perform.

Specifications must contain information that permits competition.

Although specifications should be drafted in a manner that is not
unreasonably restrictive, they must still describe clearly and accurately
all technical and other necessary requirements of the Procuring Entity.

8
 INTRODUCTION TO TECHNICAL
SPECIFICATIONS
Characteristics of an effective Technical Specifications:
• Accurate
• Clear
• Logical
• Consistent
• Reflect the product, work or service and not the vendor,
contractor or service provider
• Indenting essential functions / performance requirements
• Non restrictive

9
 INTRODUCTION TO TECHNICAL
SPECIFICATIONS
Specifications Development Process:
The flowchart below shows the stages in the specifications
development process.
•Identification of What is available Based on the

Writing specifications
Information gathering
Needs Analysis

PE’s needs, i.e. on the market as needs analysis

list of functions, an input to the and information
performances, specification/TOR gathering, the
and technical . specifications/TOR
characteristics are elaborated. It
needed to be is good practice to
included in the engage a specialist
Specification/TOR to review and
proof-read before
finalizing.

10
 INTRODUCTION TO TECHNICAL
SPECIFICATIONS
Sources of Technical Specifications:
Typical sources for compilation of Technical Specifications are previous records of
successful procurement supplemented by market research through:
1. Request for information from established suppliers and manufacturers
2. Specifications issued by the relevant government agency (DTI for Goods,
DPWH for works)
3. Consultation of recent releases of technical standards internationally
4. Professional and Technical Associations, Research centers and universities
(Government’s Central Purchasing Organisation – DBM-PS)
5. Technical Journals/Magazines, etc.
6. The Internet and online resources like on-line catalogues (use with care to
avoid copying restrictive specifications from a brand or single source thereby
frustrating competition).

11
SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF GOODS

12
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF GOODS
Types of Technical Specifications for Goods:
Specifications for Goods may be generally divided into three
categories:
1. Design specifications
2. Performance specifications
3. Functional specifications
Avoid brand names, catalogue numbers, or similar classifications.
Spare parts are typically an exception. (Pursuant Section 18 of the
2016 Revised IRR of RA No. 9184).

13
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF GOODS
Design Specifications:
• Design Specifications (physical characteristics of design and composition) are
typically used in the procurement of raw materials and simple off-the-shelf goods
or pharmaceutical drugs etc.- typically by reference to ISO standards or national
standards implementing ISO or CEN standards (in Europe).
• In more complex procurement of Goods it is not recommended to use Design
Specifications alone except where the PE is the overall expert on the subject or
where it is compelled by own considerations to prescribe a specific design like in
standardization etc.
• Typically, design specifications supplement performance and functional
specifications which are more suited for open competition but may miss other
specific requirements of the PE which are then added through design specifications
like weight, size, color, etc.
• To demonstrate the difficulty of writing Design Specifications try to think of how
many pages you need to describe the design and structure of a bicycle or LCD
projector which may be some of the simplest items of acquisition in Goods.

14
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF GOODS
Design Specifications:
• The PE defines in detail the technical characteristics of the goods to be
procured.
• These specifications may need to incorporate drawings, measurements,
tolerances, testing procedures and other specific technical details.
• Design specifications are used when the PE wants to ensure a specific
technical performance of a required item (does not expect market
innovation or better performance). Design Specs can be used, in addition,
in order to standardize the goods to be acquired.
• Using a design specification, the PE will get the goods exactly as it
requests, but also bears the risk of any problems or defects in its design
(if manufactured to its design and not standard manufacturer production)
as well as missing the opportunity to get better performance through
recent innovations in the market that may be superior.

15
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF GOODS
Design Specifications:
• Goods or materials can literally be counted, touched, weighed and tested to see
whether they conform to the specifications, both before (pre-shipment
inspection)and after delivery (inspection upon acceptance).
• Design Specification are appropriate for simple Goods where applicable standards
are available.
• Example, if 1,000 sheets of white A4 size, 80 gms photocopier paper are specified
in two packs of 500 sheets, then it is possible to:
• See whether two packs have been delivered, when and to which
organization and place;
• Look at the packaging to see if it is photocopier paper;
• Count all the 1,000 sheets;
• Weigh the paper to establish the weight in grams;
• Check that the color is white.

16
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF GOODS
Performance Specifications:
• Performance Specifications emphasize the output performance needed
from the procured product rather than its design and structure and are
therefore easier to compile. Typically legal frameworks prescribe that
performance and functional specifications are preferable to Design
Specifications.
• Performance Specifications, therefore, do not specifically direct the bidder
on the technical and design details of the item to be delivered.
• For instance, the performance specification might state that the procuring
entity desires a photocopier that can produce 60 copies per minute and
does not specify the technology or process used since such processes can
be proprietary to each manufacturer. Each supplier is then free to propose
the most suitable solution to achieve this requested performance/output.

17
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF GOODS
Functional Specifications:
• They are similar to performance specifications in that they
place responsibility for the technical characteristics of the item
to be procured on the supplier.
• But, rather than stating the needs in terms of performance
standards, functional specifications focus on the purpose or
use of the object.
• For example, the supplier is asked to provide a car that can
carry 20 persons safely across un-paved roads in all weather
conditions.

18
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF GOODS
Remarks on Goods Specifications:
• Generally, performance or functional specifications are
preferred because the risk of the item selection and its
technical characteristics is shifted to the supplier.
• In describing the specifications for goods, the PE must take
care not to overstate its needs.
• Specifications that exceed end-user needs:
• usually add costs which are not necessary and thus
waste public funds, and
• may limit competition unnecessarily, which again may
lead to higher costs and unfair discrimination.

19
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF SERVICES
• SERVICES – like goods or works- are required to satisfy specific
needs, and specifications should be written in a way that the
output provided by the service is measurable.

• However, a service has an intangible nature, which makes it

more difficult to specify and even more difficult to measure and
thus its specification needs to take into account that:
• Services involve the performance of activities or tasks,
sometimes over long periods of time;
• Services cannot be owned like a product and cannot be
stored;
• Samples of services cannot be seen prior to purchase;
• Services are provided by human beings who must meet
minimum qualification levels.
20
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF SERVICES
• The differences in the nature of services, compared to goods or
works, have implications on the specifications, which should
cover such aspects as:
• Detailed description of the services to be provided;
• Time, duration, and place of service provision;
• Required response times for service provision;
• Required documentation in form of deliverables and/or
progress reports;
• Detailed procedures and responsibilities for supervision,
acceptance of deliverables and completion of the
contract.

21
SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF
INFRASTRUCTURE PROJECT

22
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF INFRASTRUCTURE PROJECTS

For the technical characteristics of the Works procured, the

specifications will need to include aspects like:
1. Specifications for all the materials ( e.g. with reference to
ISO Standards or equivalent national standards), sample
and testing requirements;
2. Detailed Drawings;
3. Required standards for workmanship by reference to
national standards implementing ISO standards;
4. Any special requirements as to the machinery to be used
in executing the Works or the ambient conditions;

23
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF INFRASTRUCTURE PROJECTS

For the technical characteristics of the Works procured, the

specifications will need to include aspects like:
5. Soil conditions of the site (soil and sub-surface
conditions);
6. Defining available site facilities and the distribution of
responsibilities between bidder, other contractors and the
PE for site management;
7. Terms of installation, commissioning and handover before
the work is considered complete;
8. Any requirements for environmental management
systems’ certification (ISO 14001 or equivalent). In Europe
Eco-Management and Audit Scheme (EMAS).

24
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF INFRASTRUCTURE PROJECTS

• The cross reference between the Specifications and

the bill of quantities must be established.
• Normally Works Specifications include two parts:
1. General Specifications with reference to
national or international standards
2. Special Specifications where the PE prescribes
quality or workmanship levels above the
standards or where no standards exist.

25
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF INFRASTRUCTURE PROJECTS

• When the PE opts to shift the design responsibility to

the contractor like in:
1. Design and Build contracts
2. PPP contracts like BOOT, BOT etc.
3. Design, Supply and Installation of
electromechanical plant
4. Turnkey contracts

26
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF INFRASTRUCTURE PROJECTS

• Then the PE describes its requirements in the form of

“performance specifications”. Example an elementary
school with 12 classrooms (30 students each) and
200 sq. meters of headmaster/teachers quarters and
two 100 sq. meters spaces for PC and language
laboratories. All classrooms to be built in accordance
with Department of Education’s (DepEd) standards
for space/student and ventilation and natural light
requirements with prescribed number of bathrooms
and playgrounds. Additionally energy efficiency
requirements may be added etc.
27
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF INFRASTRUCTURE PROJECTS

• Commonly-used for Design, Supply and Installation of

power plants and turnkey contracts based on a
“conceptual design”. Here the PE specifies desired
requirements in terms of performance specifications like:
1. A combined cycle power plant of minimum 250 Mega
watt Net power output under continuous operation
at ambient site conditions with guaranteed
availability of min 92% of the time.
2. Then specifies to the bidders the ambient conditions
like altitude, max and min ambient temperatures at
site, the quality of water for steam generation, the
calorific value and characteristics of the heavy fuel
used to fire the boiler etc.

28
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF INFRASTRUCTURE PROJECTS

• Each bidder then proposes its own design to

guarantee the minimum output and required power
station availability and produces Functional
Guarantees to meet these required parameters plus
the fuel consumption figures at the guaranteed min
output. The PE then evaluates the bids based on such
figures and guarantees using Life Cycle Bid Evaluation
method.

29
SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF
CONSULTING SERVICES

30
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF CONSULTING SERVICES

A. General Considerations
• TORs are written statements of tasks that a consultant should
address, the manner in which the consultant's work should
be presented to the Employer and the information and other
assistance that the Employer will provide to the consultant
during the assignment.
• Persons drafting TOR should be familiar with the country,
sector and type of work.
• Assignment covered by TOR should fit into the Project and
support its implementation goals.
• Available background information should be selected and
incorporated in the TOR.
• Reporting and training requirements should be defined
explicitly.
31
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF CONSULTING SERVICES

B. Specific Information to be included in TOR

1. Background
• Why is this assignment being undertaken?
• How does it fit into the Project?
• What is the history of the Project/sector/problem to be solved?
• Who will finance this assignment? Persons drafting TOR should
be familiar with the country, sector and type of work.
2. Objectives
• What does the employer want to achieve from the assignment?
• What should be the end-product?

32
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF CONSULTING SERVICES

3. Scope of Work
• What specific areas should be covered by the consultant?
• How much detail is required in each area?
• Which other related areas should also be covered?
• How many phases of work and alternatives should be considered?
• What are the limits of the assignment?
4. Training
• What skills should the consultant transfer to the Employer’s staff?
• What structured training program should be part of the
assignment?

33
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF CONSULTING SERVICES

5. Time Schedule and Reports

• What are the required starting and completion dates of the
assignment?
• When do certain phases have to be started and completed?
• When are the consultant’s reports (inception, progress, final) due for
review?
• Which drawings, specifications, bidding documents, data bases, etc.
should be part of the reports?

34
 SPECIFICATIONS WRITING FOR THE
PROCUREMENT OF CONSULTING SERVICES

6. Information, Local Services, Personnel and Facilities To Be Provided by

the Employer
• Which previously completed reports and documents are readily
available to the consultant?
• Where is the office space for the consultant's use during the
assignment (if any)?
• Which office services (telephone, fax, copying, internet, etc.) will be
provided to the consultant (if any)?
• How will transportation be provided (if any)?
• Who will be assigned from the Employer's staff to work under the
direction of the consultant (if any)?

35
Principles and General Characteristics of
Technical Specifications
Do’s and Don’ts
• Do: be as specific and detailed as possible in stating mandatory
requirements
• Do: state a requirement of fact only one time and avoid duplication
• Do: explain the intent and purpose of every item
• Don’t: mark a requirement as mandatory if it is simply an optional
enhancement
• Don’t: write specifications which are restrictive to one bidder or one
brand
• Don’t: state the obvious in writing specifications
• Don’t: list specifications that are “nice to have”, but the ones that are
necessary
Principles and General Characteristics of
Technical Specifications
Bottom Line
• Specify what you need, “not how” to get what you need (do not
prescribe manufacturing methods or processes although you
may admit social and environmental considerations if you are
into SPP).
• Look to increase competition, not to reduce it.
• Be as restrictive as necessary without compromising
competition.
• Be as flexible as possible without compromising the objective.
• Be clear.
Principles and General Characteristics of
Technical Specifications
Specification Checklist
• Does it describe exactly the intended requirements of the
Procuring Entity?
• Does it describe the needs in terms of required function
and/or performance?
• Does it indicate the end usage?
• Is it clear and understandable?
• Does it encourage competition?
• Do you have the means you need to verify compliance?
 THANK YOU!!

Con t a ct u s :

Un it 2 5 0 6 R a ffles Cor p or a t e Cen t er

F. Or t ig a s R oa d , Or t ig a s Cen t er
P a s ig Cit y, P h ilip p in es 1 6 0 5

TeleF a x : (6 3 2 )9 0 0 -6 7 4 1 t o 4 4

39