tendering Flashcards
What are the 5 different types of tendering?
Open, Selective, Negotiated, Two stage, Serial
What is open tendering?
Advertisement in newspapers and relevant construction journals, inviting contractors to tender on a particular job
It gives competitive tenders and allows new firms to establish and prove themselves.
What is selective tendering?
Registrants are evaluated, and tenders are selected by the principal consultant and approved by the project control group, typically around 4-6 contractors
Mainly used for public works or contracts in the 5-10 million range.
What is a disadvantage of selective tendering?
New firms are very rarely chosen and it is harder to get on the tender list.
What is negotiated tendering?
A contractor is often chosen based on past performance, recommendation, and familiarity with the work
Saves time as full tender documents do not need to be prepared.
What is a challenge of negotiated tendering in the public sector?
Difficult to negotiate due to EC directors’ insistence that projects of specified value must be open to competition.
Describe the two-stage tendering process.
First stage produces a competitive tender based on approximate bills of quantities; the contractor helps with design and submits a final tender without competition.
What is serial tendering?
Allows several similar projects to be placed with a particular contractor, providing the incentive of continuous work flow.
What do tendering documents usually include?
- Condition of contract
- Drawings
- Bills of quantities
- Form of tender
- Return envelope
- Specifications
- Schedule of works
What factors affect the levels of tenders?
- Size of list
- Location of contract
- Time to tender
- Time to complete contract
- Quality of documents
- Payment terms
- Tender with no specific start date
- Bond
- Type of contract
- Qualified tenders
- Amount of existing work in the system