Tendering Methods

                                             

Tendering methods covers the various methods that may be used by the client and his advisers to obtain offers. The offers are made by the firms approached, who do the actual tendering and have their own procedures. Good selection should be made so as to obtain a contractor who may enhance good relationship between the client, contractor and consultants.

Types of Tendering Methods

1.      Open tendering

The procedure here is to advertise through the press, inviting firm that wishes to do so to submit a tender; the advertisement will give outline details of the type of work, its scale, the program and any other key features. Interested firms apply for the tender documents and there are usually no formalities other than a deposit of few shillings, which is returned on submission of a real tender. The deposit covers the cost of the documents.

2.      Selective tendering: Under this there are two options

(i)                 Selective Competitive tendering: Where there is limited time before the contract is to be awarded, the consultant may in consultation with the client draw up a list of suitable contractors to be invited to tender. This tends to disallow some contractors some chances as they may all not be familiar to the consultants. For some reason of past satisfactory performance the employer may only want a particular list of contractors.

(ii)               Pre—qualification: In this method advertisement is done through the press except that the client in this case asks contractors of certain ability and class to send their  names so that they may be included in a list of tenderers.

3. Special Selection Tendering

(i)                 Nominated / single tendering: There may be circumstances in which only one firm is found to satisfy the criteria for selection. This is more likely in the case of a specialist Sub –contractor but it may also arise in the case of a main contractor, if; he did nice job for the client, have peculiar qualifications or is already been site. However it is likely tender price to be high although negotiation can be done.

(ii)               Serial tendering:  For large projects, it is useful for a series of closely similar scheme which are to be carried out over a period of time within the same area and permitting the phased utilization of organization and plant available at the site.

3.      Negotiated Tendering

There are occasions when it would suit the client to dispense with the element of competition all together and approach only single contractor who is considered to be capable to execute the work. The client may reach the decision and employ a particular contractor whose methods and policies are known and which has in the past proved capable of satisfactory fulfilling the clients’ requirements