chapter 5 Tendering proceddures Flashcards
Explain the concept “tendering”
It is the process of submitting a propasal to undertak, or manage the undertaking of a construction project.
What is a “Bill of quantity”?
It is a list of all the materials of a project mhich have sufficient detail to obtain a realistic cost, or rate per described item of work/material.
3.Why is “the lowest tender” not always the most feasible tender?
Itis the most likely to increase the contract sum during the course of the project.
- Name two ways through which a construction company can obtain projects/jobs!
- Other way negotiation
* Competivie tendering
A good tendering process of a construction company covers a number of important steps. Name these steps!
- Deciding to tender or not
- Pre-tender arrangements
- Site-visit
- Enquiries to sub-contractorsand suppliers
- Buikd-up of the estimate
- Pre-tender method statement
- Preparations of pre-tender programme
- Build-up contract preliminaries
- Management adjucation of the estimate
- Analysis of tender preformance
• It is important for a construction company “to establish contract leads”. What does that mean?
To get information about possible projects for which the company can submit a tender
“Deciding to tender or not” is the first step in the “good tendering process”. Name at least five important aspects that the construction company must take into account at this step!
- General tendering policy of the company
- Working capital
- Availability of resources
- Location
- Size and type of work
- Subcontractors
- Availability of recources
- Degree of competion
- Tender period
- Trems and conditions of contract
- Tederdocuments
- Client and other participants
- Market factors
Describe the content of the step “Pre-tender arrangement”.
arragenments before the real tendering-work starts.
• setting up an appropriate team • planning the tendering these parts depend on: • sizeof company • size of project
When shall the step “site-visit” take place? Name some details/factors that must be investigated
in connection with such a site-visit!
It shall be made before starting to price the tender. Usually a formal condition of tendering stated in contract preliminaries
• access to the works- effect on construction methods
• site topography, ground conditions, and ground water levels
• distance to local trips for the disposal of materials
• prvision of ite security
• restrictions imposed by adjecent buildnings and services
Describe the main parts of the “Build up of the estimate”!
- Pricing the bill sections/parts
- Analysis of tenders from sub-contractors and suppliers
- Build-up of the contract prelimiaries
- Preparation of tender adjudication meeting
What is “all-in rates” for labour?
It is the total cost of an item including all direct and indirect cost for that item
What is “contract preliminaries
to include for pricing of items which cannot be includedin the measured work. 2 catagories: -fixed costs and time-related costs
Describe briefly the content of the step “Pre-tender method statement”
in outlines the sequence and method of construction upon which the tender is to be based and gives input to the pre-tender programme which forms the basis for calculating the cost of preliminaries
Name some important issues that ought to be considerer at the “Management adjudication of the estimate”!
- Is the estimate correct?
- Have the items been priced sensibly?
- Are the sub-contractors prices achiveable?
- Can the prices be reduced if we win the contract?
- Is the pre-tender programme realistic?
Analysis of tender performance is the last step in the “good tendering process”. What do you think is should include?
A follow up. If the company get the job: • Follow up after completetion of the project, compare tender with real outcome If they didn’t get the job: • Why didn’t they get the job? Aim: Lessons and data for the future
