A project manager is selecting a vendor for a crucial project component. One vendor offers the lowest price but has limited industry experience and lower quality ratings. Another vendor's proposal is higher in price but includes extensive experience and excellent quality ratings. Which vendor evaluation technique should the project manager apply in this situation?
Use a random selection process to ensure impartiality.
Award the contract to the vendor with the shortest delivery time.
Choose the vendor that provides the best overall value considering quality and experience.
Select the vendor offering the lowest price to minimize project costs.
In this scenario, the project manager should focus on selecting the vendor that offers the best overall value by considering factors like quality, experience, and reliability. Choosing the vendor with extensive experience and excellent quality ratings reduces project risks and can lead to better outcomes. While the lowest price may seem cost-effective initially, it may result in higher costs later due to potential issues from lower quality or inexperience. Awarding the contract based on the shortest delivery time or using a random selection process are not appropriate because they do not address the critical factors of quality and experience needed for the project.
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