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Evidence Note · Procurement
5 min · 2026-02-28

The cheapest bid: when savings are deferred exposure

Two suppliers meet spec. One undercuts by 10–15%. The question is whether the differential is efficiency — or unpriced future liability.

ProcurementRiskGovernanceVerification

Why procurement misses this

RFP review happens under deadline pressure. Addenda arrive late. Signals sit outside the pack. A supplier can be ‘compliant’ in the submission while the real constraints appear later — permits, capacity, enforcement, or upstream disruption.

Example drift pattern

T0 · Submission
Full compliance asserted
Unverified
Reported

Capacity expansion completed and operational.

Observed

No independent corroboration in the record at award stage.

Missing verification

Commissioning proof / third-party verification.

T1 · 6 months
Registry doesn’t agree
Gap
Reported

No permitting dependency disclosed.

Observed

Permit remains pending in public registry.

Missing verification

Evidence connecting claimed capacity to regulatory prerequisites.

T2 · 12 months
Independent signal conflicts
Contradiction
Reported

High utilisation reported.

Observed

Independent evidence inconsistent with expansion activity.

Missing verification

Supporting artefacts explaining discrepancy.

Output language that works in a boardroom

  • “Price reflects deferred exposure” (with references).
  • What is verified vs unverified vs absent, at each point in time.
  • A pack suitable for governance: why award was made, and what was known then.

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