Slide 1

Tendering Process
Sr Ts. Muhamad Zaihafiz bin Zainal Abidin

The best preparation for tomorrow is doing your best today.

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Slide 2

LEARNING OBJECTIVES
At the end of this lecture students should be able to explain:
▪ The activities that needs to be undertaken by the developer
in tendering exercise

▪ The activities that needs to be undertaken by the Contractor

in tendering exercise

▪ the key components of tendering

The best preparation for tomorrow is doing your best today.

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Slide 3

Project Development : a lifecycle

The best preparation for tomorrow is doing your best today.

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Slide 4

(1)*
• Progress
• Time
• Cost (2)*
Design Construction • Quality • Contract Sum
• Health & Safety • Claims & Payments
Quality Planning & Control • Environment • Variations
Process Detail • Extension of Time
• Determination
Design & Specifications
Environmental Planning & • Completion
Control Process Monitoring & Control • Etc.

Health And Safety Planning & Control Contract Administration (2)

Authorities Approval
Process

Administer Value Management Project Monitoring Project

Start Success or
Conceptual Design
Financial Control Failure
Preliminary Estimate Process
Tender
Award Testing &
Project Brief & Project Financial Commissioning
Viability Tender Hand Over
Project DLP
Initiate the Evaluation
Implementation PLan Tender Management
project & Control Exercise Managing Operations And
Tender Documentation Maintenance Plan Processes
Procurement strategy

Inception Tendering Close Out

Activities at every phase of project development

The best preparation for tomorrow is doing your best today.

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Slide 5

Tendering: ‘Tender’

Advertisement/ Selection of
Qualification Financial
Invitation Invitation Qualified Bidder
(Instruction to
bidders) Technical

Soliciting Bids Performance

Proposals Form

Agreement Request for Prebid Clarification of

Proposals TENDER Conferences & RFP
General (RFP) Site visits
Conditions

Special On-site
Conditions
Others Identification

Technical
Specifications Issuing Question of Extension of
Addenda Propriety Bid Period
Drawings
Controlling Request for
communication Additional
Risks Documents

Copyright ©Fadzil CPIM UiTM2012

The best preparation for tomorrow is doing your best today.

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Slide 6

Tendering: ‘Tender Documentation’

Project Industry Standard Owner Reference

Agreement Document Document

General
Condition
Format
Special
Condition
Invitation to
Technical Proposed Bid
TENDER
Specification Contract Bid Documents
Documents DOCUMENTATION
Proposal
Drawings

Insurance Others
Requirement

Job Rules Ancillary

Insurance Bonds
Contracts
Safety
Program Language Document
requirement
Considerations Modifications

Special
Instructions
Copyright ©Fadzil CPIM UiTM2012
The best preparation for tomorrow is doing your best today.

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Slide 7

Tendering: ‘Tender Receipt & Evaluation’

Helps to surface bidder Guard against bidder
error & misunderstanding collusion or bid rigging

Isolate variances or
Pre-award negotiation Identify unbalancing bids
exceptions

Fair Price Estimate

Bid Security Post-bid Discussions

TENDER RECEIPT & EVALUATION

Selection and
Errors & Rebid
notification
Bid evaluations
considerations

First Cost Intangibles Lifecycle cost

Commercial
Technical Considerations
Considerations

Copyright ©Fadzil CPIM UiTM2012

The best preparation for tomorrow is doing your best today.

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Slide 8

Tendering: ‘Tender Award’

Negotiation Bidding Competition

Method

Letter of Intent

Pre-award Meeting TENDER AWARD

Agreement
Conforming the
contract

Conformed Contractor
Client Signature
Contract Signature

Contract
Drawings
Document

Copyright ©Fadzil CPIM UiTM2012

The best preparation for tomorrow is doing your best today.

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Slide 9

Construction Management Within the ‘Project Life Cycle’

Project Award
Site Mobilisation

Construction Resources Management

Time Sundry Management Labour
Site Possession
Cost Project Objectives Plant &
Quality Equipment
Safety & Health Site Office Materials
Environment Contract Sub-
Requirements Administration contractors
Third Parties Project Staff

The best preparation for tomorrow is doing your best today.

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Slide 10

Construction Site Management Tasks

Recruitment and dismissal,
inter-site liaison & transfer,
supervision, direction &
motivation, weekly & monthly
records, approve wages
Take-off, schedule & Schedules & requisitions, Assist tendering and selection process, issue
requisition, Supplier liaison, Visiting consultants, supplier liaison & information/variations, co-ordination &
weekly records, site use, stock site/trade foreman, correspondence, weekly hire liaison of works, meeting, progress
checks, storage of materials trainees, site records & time sheets, site use & monitoring, administer quotations, claims
supervisors control, maintenance and payments, site measurements etc.

LABOUR MATERIALS STAFF PLANT SUB-CONTRACTORS

Evaluation of tender/ Public, Local Authorities

pricing and contractor’s Police
capability RESOURCES
TENDERING
THIRD
PARTIES/STAKEHOLDERS
Activities that are
carried out by the main Service Departments
contractor after the SITE MOBILISATION CONSTRUCTION OTHERS
award of the project by
PRECONSTRUCTION CONTRACTOR
Contracts Manager
the client SITE MANAGEMENT Directors

CONTRACT
MANAGEMENT DUTIES
ADMINISTRATION SITE OFFICE MANAGEMENT

RESPONSIBLE FOR
Administer the contract among the (PROJECT OBJECTIVES)
stakeholders involved in the project Query list, variations, daywork sheets, confirm verbal
instructions, co-ordination, liaison of works, meetings,
initiate general correspondence, reports.

SAFETY MONEY QUALITY TIME ENVIRONMENTAL

Risk assessment, site safety Appraisals, weekly & Prepare & check snag list, Long/medium/short term Compliance towards
audits, health & safety monthly cost control, supervision, recording of tests, programmes, monitoring & environmental requirement.
equipments, health & safety assist valuation, claims & record performance, and recording progress, schedules for
records/audits, health & safety payments quality administration. information requirements,
administration planning & progress meetings

The best preparation for tomorrow is doing your best today.

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Slide 11

Project Drawings Site Briefings

Contract Form Financial Financial Standing

/Conditions Special Provisions
Evaluation Credit facilities
Invitation to Technical Project Staff and qualification
Tender Period
tender Evaluation & Experience
Conditions for Tender Validity Project Project in Hand
Tendering Period Experience

Tender Table
Evaluate capacity to tender
Document Content Site condition
Pricing Tenders Preliminaries
Requirement
Analyse Tender Site investigation Supply chain
Table Document: to determine
Logistic
Pricing for special Provisions
Determine/re-measure/check work
quantities in the tender
Construction Pricing Material, subcontractor, plant and
Project Tendering machineries quotation
Tender
Build up rates for pricing tender

Pricing strategy and adjudication

Preliminary Planning
and Estimate Payment Method

Pricing & Financing Risk

Preliminary Work Incorporate
Pre Tender Planning
Programme Risk mitigation Construction Risk
in tender
Quality Risk

Temporary Work Traffic Site layout Health and safety Risk

Accessibility
and services management Plan
Environmental and
The best preparation for tomorrow is doing your Risk
compliance best today.

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Slide 12

THANK YOU

The best preparation for tomorrow is doing your best today.

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