What are
performance requirements
Also known as: performance-based specifications, performance specifications
Performance requirements are specifications that set measurable levels of output a delivery must achieve. Where a functional requirement describes what a solution should do, a performance requirement specifies how well it must perform — expressed in concrete, verifiable values. Under EU Directive 2014/24/EU, performance requirements are one of the preferred ways to formulate technical specifications in public procurement.
How do performance requirements work?
Performance requirements are expressed as quantifiable targets tied to delivery outcomes. Think of it as the difference between saying "the building must have a comfortable indoor climate" (functional requirement) and "indoor air must stay between 19 °C and 22 °C, with CO₂ levels below 1,000 ppm" (performance requirement). Both are open specifications that leave suppliers free to choose their method and technology, but the performance requirement sets a measurable threshold for what counts as adequate.
Article 42 of Directive 2014/24/EU states that technical specifications must, as a general rule, be formulated in terms of "performance or functional requirements", optionally combined with references to technical standards. The Directive shows a clear preference for open specification approaches to ensure fair competition.
When are performance requirements used?
- Capacity targets — e.g. "the server must handle at least 500 concurrent users without response time exceeding 2 seconds"
- Environmental performance — e.g. "the vehicle must have maximum CO₂ emissions of 50 g/km" — a typical criterion in green procurement
- Operational standards — e.g. "the system must maintain 99.5% uptime per month"
- Energy efficiency — e.g. "the building must consume less than 80 kWh/m² per year"
Performance requirements are especially effective where outcomes can be measured objectively. They simplify tender evaluation and make it straightforward to verify compliance during contract monitoring. Tools like Cobrief can help suppliers quickly identify and understand performance requirements in tender documents.
Performance requirements give contracting authorities a clear benchmark for quality while preserving suppliers' freedom to choose the best approach. By specifying output levels rather than prescriptive solutions, they foster innovation and fair competition.