_____ _____ = (Performance + Quality) / Cost

_____ _____ = (Performance + Quality) / Cost

• A. Best Value
• B. Quality Value
• C. Value Index
• D. Cost Value

Answer: (A)

The idea being tested is that value in design-build procurement comes from getting more performance and quality for each dollar spent. The formula value equals (Performance plus Quality) divided by Cost expresses that trade-off: when you raise performance and/or quality without a proportional rise in cost, the value goes up; when cost climbs faster than performance and quality, value goes down. This is the essence of Best Value, where the goal is to maximize overall project outcomes by balancing how well a proposal meets performance and quality requirements with its price, rather than just choosing the lowest cost. Other terms like Value Index or Cost Value aren’t the standard way DBIA describes this value-driven selection, and they don’t capture the same explicit trade-off between performance/quality and cost.

The idea being tested is that value in design-build procurement comes from getting more performance and quality for each dollar spent. The formula value equals (Performance plus Quality) divided by Cost expresses that trade-off: when you raise performance and/or quality without a proportional rise in cost, the value goes up; when cost climbs faster than performance and quality, value goes down. This is the essence of Best Value, where the goal is to maximize overall project outcomes by balancing how well a proposal meets performance and quality requirements with its price, rather than just choosing the lowest cost. Other terms like Value Index or Cost Value aren’t the standard way DBIA describes this value-driven selection, and they don’t capture the same explicit trade-off between performance/quality and cost.