A Terms of Reference (TOR) is a detailed document in procurement—especially for service contracts such as consulting or technical assistance—that establishes the scope, objectives, tasks, and deliverables expected from the service provider. It typically includes background context, the methodology required, reporting obligations, timelines, responsibilities, and evaluation arrangements. Essentially, the TOR serves as the services equivalent of technical specifications, guiding suppliers on exactly what is expected and laying the groundwork for their proposals.
In the EU procurement framework, TORs are critical components of the tender dossier for service contracts, particularly those issued under framework agreements or specific assignments. They outline the precise outputs expected and may define the expert profiles, deliverables, and implementation timeline. Authorities must craft TORs carefully, using clear objectives and outputs—especially in global-price contracts—to avoid ambiguity and ensure suppliers understand what must be delivered. TORs also often serve as the basis for evaluation and are kept confidential until tenders are formally issued.
Practically, well-drafted TORs are foundational for preventing scope creep, aligning expectations, and facilitating fair and transparent evaluation. Bidders rely on TORs to design responsive and compliant proposals, tailoring methodologies and work plans to meet stated goals. When TORs are vague or poorly structured, it leads to misinterpretation, inconsistent offers, and increased procurement risk. A strong TOR ensures clarity, accountability, and smoother contract execution.
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