Procurement & Tendering Flashcards
(20 cards)
What is the difference between tendering and procurement?
Procurement is the overall act of obtaining goods or services and the strategy of how how they are acquired.
Tendering is a part of the procurement process which involves the bidding process and how the contractor is appointed
What are the main types of tendering procedures?
- Single stage tendering
- Two stage tendering
- Negotiated tender
- Framework agreements
What is a single stage tender?
Obtaining a price for the whole of the construction works usually with a RIBA stage 4 design
What is a two stage tender?
A two stage tender involves appointing a contractor based on their quality bid, prelims and OH&P at RIBA stage 2 or 3. Good for PCSA and early contractor involvement
What is a negotiated tender?
Where a contractor is approached for work and the first price is negotiated until both parties are happy to proceed.
What are the reasons for a robust tender strategy?
- Accountability
- Auditability
- Ensuring nothing is missed
- Reducing claims or corruption
- Ensuring the correct price for the works
What is management contracting?
Management contracting is where the client employs a management contractor to manage the construction of the works coordinating trades
What is constriction management in terms of procurement route?
Constriction management is where experienced clients appoint the subcontractors directly and a constriction manager to oversee the process on site.
What is a joint venture?
A joint venture is where two or more contractors work on the same project.
What are the benefits of early contractor involvement?
Input in early design information to increase build-ability, advise on cost implications and offer expertise
What is the Procurement Act 2023
The procurement act is legislation that regulates how government funded projects are tendered. Changes include mandatory find a tender portal, promote SMEs, social value and sustainability.
Give an example of procurement that you’ve done?
Bath Road - Ground works package
What are some accreditations you would look for in a company that you are going out to tender for?
Constriction Line
SMAS (safety management advisory service)
Achilles
CHAS
SSIP
What are the stages of the procurement process?
- Understanding the scope of services and the key objectives
- Selecting the right procurement route
- Tendering
- Issuing and signing the contract
What are the key stages of the tender process?
- Create scope of works (BoQ or detailed description of package works)
- Collate tender information pack
- Select tenderers issue enquiries
- Stack up quotes
- Due diligence
- Tender prestart meeting
- Draft and issue contract
What procurement strategy would you use to get the most competitive tender?
Traditional lump sum to encourage enough tenders
Give me an example of where you advised the client on a tendering strategy?
On the Eastbrook studios project I advised the client that the fire protection package works be tendered separately by splitting the intumescent works and general fire stopping works for a more competitive tender
Give me an example of where you have advised on the procurement process?
At Devcon one of the findings of my commercial audit of the company was that the tender prestart meetings were significantly lacking in information and that they needed to be redrafted to include more detail on attendances and programme commitments
What are the benefits of a tender prestart meeting?
A tender prestart meeting id essential so that both parties can meet with the operational teams to go through the requirements of the project and ensure that there is a good understanding of the scope of works required and the scope of works quoted to avoid disputes down the line.
How do you get sub-contractors to quote for works repeatedly?
- Ensure good tender feedback
- Manage good relationships with the supply chain
- Send out good information that is easy to understand as part of the tender enquiries
