Sole Source procurement occurs when?

Sole Source procurement occurs when?

• A. May result because only one supplier possesses the unique ability or capability to meet the requirements.
• B. When many suppliers can meet the requirements.
• C. When price competition is high.
• D. When there is no need for supplier information.

Answer: (A)

Sole source procurement happens when only one supplier possesses the unique ability or capability to meet the requirements. This can come from specialized expertise, proprietary technology, exclusive rights, or a compatibility constraint that no other vendor can satisfy. Because no other supplier can meet the needs, competition isn’t feasible, and contracting with that single source is justified to avoid delays or failures in delivering the required product or service. If many suppliers could meet the requirements, it would be a competitive procurement, not sole source. If price competition is high, that also signals multiple bidders. The idea of “no need for supplier information” doesn’t establish sole source; you still need to identify and justify the supplier's unique capability to warrant sole sourcing.

Sole source procurement happens when only one supplier possesses the unique ability or capability to meet the requirements. This can come from specialized expertise, proprietary technology, exclusive rights, or a compatibility constraint that no other vendor can satisfy. Because no other supplier can meet the needs, competition isn’t feasible, and contracting with that single source is justified to avoid delays or failures in delivering the required product or service.

If many suppliers could meet the requirements, it would be a competitive procurement, not sole source. If price competition is high, that also signals multiple bidders. The idea of “no need for supplier information” doesn’t establish sole source; you still need to identify and justify the supplier's unique capability to warrant sole sourcing.