Procurement literature splits specifications into conformance/detailed (describing the exact materials, dimensions or process) and performance/functional (describing only the required outcome). Detailed specs favour buyer control and quality certainty but curb competition and innovation and make the buyer liable for any design defects. Performance specs do the opposite: by leaving the “how” to suppliers they foster creativity and can cut cost, yet they complicate bid evaluation and demand rigorous performance measurement to avoid shortfalls.

1. Lysons

K. & Farrington

B. “Procurement and Supply Chain Management”

9th ed.

Pearson

2016

ch. 13

pp. 266-270 (advantages/disadvantages of conformance vs. performance specs).

2. Caldwell

N. in “The Oxford Handbook of Public Procurement”

Oxford Univ. Press

2013

ch. 5

pp. 86-88 (discussion of specification types and risk transfer).

3. Murray

G. “Strategic Procurement”

Cambridge Univ. Press

2009

pp. 112-114 (innovation benefits of performance specifications).

4. MIT OpenCourseWare

ESD.273 “Logistics & Supply Chain Design”

Lecture 7 slides

pp. 4-6 (functional vs. technical specs comparison).