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Procurement Guide

AI Model Cost Comparison Framework for Procurement Teams

AI procurement requires structured cost comparison across providers. This framework defines a benchmarking workflow with pricing analysis and contract recommendations.

Implementation Steps

  1. Collect pricing data: per-token cost, context window limits, and throughput caps.
  2. Compare feature sets: fine-tuning support, streaming, function calling, and safety controls.
  3. Calculate annual cost projection based on usage volume and routing mix.
  4. Recommend contract strategy: commitment size, fallback options, and negotiation targets.

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  • Provider and model split recommendations
  • Budget guardrail design by traffic stage
  • KPI plan for spend, quality, and conversion
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