Bill of Quantities (BOQ) — definition
Itemised schedule listing materials, equipment, labour and quantities required for a project, used as the basis for supplier pricing and comparison.
A bill of quantities breaks a project or piece of equipment into priceable line items, allowing buyers to compare unit rates across suppliers and to value change orders consistently. It is commonly used alongside technical specifications in tender documentation.
Why it matters to industrial buyers
Itemised pricing improves cost transparency and makes it easier to identify which cost elements drive differences between competing offers.
Key reference points
Typical use
Commonly used in construction-heavy and turnkey projects where multiple trades and equipment packages must be priced separately.
Change valuation
Existing unit rates in a BOQ are often used to price scope changes during execution.
Commonly confused with
Scope of supply
A BOQ itemises quantities and prices; scope of supply describes contractual responsibilities and boundaries, without necessarily itemising cost.
How it is used in practice
The bill of quantities for a cold storage facility lists insulated panels, refrigeration units and electrical works with quantities and unit rates.
Frequently asked questions
Is a bill of quantities required for equipment-only purchases?
It is less common for single equipment items but is standard practice for larger multi-package or construction-linked projects.
Who prepares the bill of quantities?
It is typically prepared by the buyer's engineering team or a quantity surveyor, sometimes with supplier input during tendering.
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Related terms
Technical Specification
Structured document describing the functional, performance, materials, and interface requirements an item of equipment or system must meet.
Scope of Supply
Contractual description of the equipment, services, deliverables and responsibilities a supplier is obligated to provide under an agreement.
Tender Evaluation Matrix
Structured scoring tool used to compare competing supplier bids against weighted technical, commercial and risk criteria in a consistent, auditable manner.
Request for Quotation (RFQ)
Buyer-issued document requesting priced offers from potential suppliers for a defined scope of equipment or services, based on fixed or largely fixed specifications.
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Reference content only. Global B2B Group is independent of equipment manufacturers and financing institutions; definitions are provided for education and do not constitute engineering, financial or legal advice.