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Best and Final Offer (BAFO) Definition and Explanation PDF | Download eBooks

Learn Best and Final Offer (BAFO) definition in project management with explanation to study “What is Best and Final Offer (BAFO)”. Study best and final offer (bafo) explanation with project management terms to review project management course for online MBA programs.

Best and Final Offer (BAFO) Definition:

  • Best and final offer (BAFO) gives the contractor one last chance to reduce its price and possibly win the contract.

    Successful Project Management by Jack Gido and James P. Clements



Best and Final Offer (BAFO) Explanation:

When a customer requests for proposal for a particular project, contractors submit proposals outlining the deliverables and the estimated costs of project. Sometimes, a large number of proposals for a project are submitted by the contractors. In this case, the proposal evaluation process is simplified by shortlisting the contractors based on their proposals. After shortlisting, verbal presentation of the proposals are asked for of the contractors. Through this, the contractor can submit the best and final offer (BAFO). Best and final offer allows the contractors to reduce the estimated price which can help in winning the contract. Best and final offer basically provides last chance to the contractors to win the contract.

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