Monday, 19 June 2023

Analysis of bidding techniques in construction projects


construction projects


The construction organization design of the project is one of the bases for the planning and arrangement of construction management and the supervision of the supervision engineer after winning the bid, and must be scientific, reasonable and feasible. Construction organization design mainly includes: project manager department personnel structure, engineering construction plan, site layout, construction schedule, labor and equipment allocation, quality assurance measures, safety production measures, logistics supply measures, etc. The engineering construction plan is the key, which directly affects the success or failure of the budget price and bidding, and the bidding unit should initially determine several sets of plans for calculation and comparison according to the on-site inspection


1. Preparation of tenders

The preparation of tenders is the main element of the tendering process. Generally, after the owner sells the tender, a pre-bid meeting attended by the tendering unit will be held and an on-site inspection will be organized to answer the questions of the tendering unit on the tender and the construction site. Therefore, after purchasing the tender documents, the bidding unit should seize the time to carefully read and repeatedly study the bidding documents, and list the list of questions that need to be answered by the owner and the list of projects that need to be investigated and understood on the site. The main contents of the site investigation include: landform (vegetation) topography, local climate and hydrology, road traffic conditions, distribution of local materials, mining conditions and quality of natural materials, prices of purchased materials, transportation distances of various materials, power supply and water sources, communication conditions, price consumption levels, social security conditions, comprehensive social and economic conditions, etc.

After the on-site inspection, it is necessary to immediately formulate a bidding plan, clarify the division of labor, and make the entire bidding process proceed as planned, so as not to cause loosening before and after tightening, and shoddy manufacturing. The main contents of the tender are the project budget price and construction organization design. 


The following issues should be paid attention to in the preparation of the budget: first, the quota used should be correct, and if the owner has not specified it, the latest quota of the same industry country is generally used; Second, the unit price of each budget should consider the price fluctuation factor during the construction period; Third, the quantity shall be subject to the list of quantities given by the owner, and even if obvious errors are found, it shall not be adjusted by itself without the written approval of the owner; Fourth. Other project costs, preparatory fees, supervision fees, tentative deposits, etc. 

shall be calculated according to the requirements of the bidding documents; Fifth, after the budget is prepared, it must be reviewed by others, and there must be no mistakes. 


In addition, it should be noted that the project budget and the construction organization design are unified, the construction plan is the necessary basis for budget preparation, and the budget in turn guides the adjustment of the construction plan, and the two are interrelated unities and cannot be prepared separately.

Second, how to deal with the bidding task after receiving the bidding task

After receiving the bidding task, all departments should attach great importance to it, always ensure that they are early and not late, do not shut down the computer 24 hours a day, ensure that they are on call, and strictly do a good job in confidentiality. Prevent leakage of tender information. In view of the division of responsibilities, each department should start from the following aspects:

2.1. Preliminary information collection; 

The unit shall designate relevant personnel to be specifically responsible for the collection of bidding information, and its main tasks are: read the bidding announcement of Jiyuan Daily every day, browse the bidding information webpage and other relevant bidding media announcements, record the bidding information that meets the qualification requirements of the unit in a timely manner, and report it to the competent leaders for instructions to determine whether to participate in the bidding work of relevant projects.

2.2. Peripheral coordination work; 


In the face of the current fierce market competition mechanism, combined with the actual situation of the unit, the peripheral assistant trainers must judge the time and size up the situation, weigh the pros and cons, start the coordination work from the usual, start from the details, mainly do a good job in coordination and communication with the unit, establish a good external image of the unit and build a harmonious cooperation sincerity, according to the relevant information obtained by the early information collection personnel, communicate with the technical management personnel of the owner unit in advance to obtain more valuable engineering information. Lay a good network foundation for tendering.

2.3. Preparation of bidding quotation: 

After receiving the bidding task, the personnel preparing the bidding quotation should first carefully read the requirements and evaluation methods of the quotation format in the bidding documents, and then review the engineering quantity of the bidding drawings in a targeted manner, and at the same time take time to conduct market price investigation on the raw materials involved, must ensure the accuracy of the survey data and the scientific nature of the investigation method, and conduct material budget price analysis according to the raw material price and the transportation distance specified in the bid price of the survey. 


Compare the actual budget price with the budget price of the stop price to check the reasonableness and fairness of the budget price of raw materials in the block price. 


According to the price of raw materials, further analyze the detailed unit price, reasonably select the fixed amount, compare the analyzed detailed unit price with the bidding unit price, carefully find out whether there are omissions and missing items in the budget process in the blocking price, and report the errors found in the verification process to the bidding agency center (or the bidding office) in writing in a timely manner, and ask it to reply within the specified time, and at the same time analyze the detailed project cost and cost, compare and analyze the cost price and the blocking price after the corresponding number of points, and weigh the size of the profit as a whole. The accurate data will be reported to the relevant leaders in time for decision-making, and the passive situation of blindly lowering the quotation and losing money after winning the bid is not constructed.

In addition, in addition to mastering the quotation format of the traffic part, the bidding and quotation personnel should usually learn the quotation format of some municipal projects to avoid unnecessary trouble caused by misunderstanding or disagreement. 


The analyzed quotation is reviewed by at least two people, focusing on checking whether the floating point number and quotation table form of the total quotation are correct and the number of tables. Finally, when the tender documents are prepared and ready for photocopying and binding, the quotation preparer should double-check the consistency of the total bid price and the budget information in the tender letter to ensure that the tender quotation is foolproof.

3. Measures to deal with common problems in construction project bidding and quotation

3.1 Enhance the awareness of subjectivity and use legal means to protect their own rights and interests

Enterprises in the encounter of unfair bidding competition, must dare to use legal weapons, to protect the legitimate rights of their enterprises, and can not swallow the voice, promote the spread of unhealthy winds, as long as each enterprise participating in the bidding has the initiative to protect the sense of rights, participate in the entire bidding link of the supervision, when the problem is found, the collective joint to the relevant departments to question, over time, the construction market will form an "open, fair, just" competition environment, so that powerful enterprises to get more opportunities for development, Therefore, in the setting of corresponding legal liabilities, enterprises should cooperate with regulatory authorities and should establish relatively heavy legal liabilities in terms of economy and qualifications. So as to exclude those enterprises with incomplete qualifications and low reputation from the market, thereby purifying the unhealthy trend in the construction project bidding market.

3.2 Carefully do a good job in the preparation of the bill of quantities

The bidding quotation of the project should be considered from the following aspects: 

(1) carefully study the bidding documents, clarify the contractor's responsibility and scope of contracting, avoid any omissions in the quotation, and clarify the special materials and equipment that need to be used in the project, so as to investigate the market price before calculating the quotation and avoid mistakes due to blind valuation; 

(2) Site survey, mainly to understand the natural geographical conditions of the construction site, market conditions, construction conditions on site, owner's situation, competitors' situation, and determine the factors that need to be considered according to these circumstances; 

(3) In calculating the quotation of the project, it is necessary to calculate in accordance with the current quota and regulations in the region to correctly understand the market supply.

After the cost comes out, it is finally necessary to determine a reasonable total bidding price, establish that the total bidding price of the project should be based on the profit and loss forecast of the project, and use the analogy method to compare similar projects in the past, or use the analysis method to compare the unit price of work, materials, machines, direct costs and indirect costs with each other to see if there are missing or recalculated projects, and then analyze the various components of the cost to see which measures can be taken to reduce costs and increase profits. 


In determining the total quotation of project bidding, it is necessary to adhere to the principle of "being able to win the bid and making it profitable", and at the same time, it is necessary to consider the gains and losses of the success or failure of the previous bidding, and also focus on the long-term development goal, and determine the final bidding quotation more reasonably.

3.3 Multi-plan quotation, strive for the probability of winning the bid

Bidders should adopt the multi-scheme quotation method to take thorough preparatory measures and implement them in areas that are not clear in the bidding documents, so as to achieve the purpose of amending the project specification and the contract, so as to increase the probability of winning the bid. 


That is, a unit price is quoted according to the original bidding documents, and annotated to it, such as when the project description and contract terms can be changed, a certain fee can be reduced, etc., so that the quotation becomes the lowest price, so as to attract the owner to modify certain terms of the bidding documents (care is taken not to violate the principle of tender consistency stipulated in the bidding documents when using this method, otherwise it may be treated as a cancelled bid). 


If provided in the solicitation documents, an alternative may be proposed, i.e. the original design may be partially or wholly modified to present the bidder's proposal. 


At this time, the bidder should organize a group of engineers with rich experience in design and construction to carefully study the design and construction plan of the original bidding documents, and propose a more reasonable plan to attract the owner and promote the bid of its own plan. This new alternative must have certain advantages, such as reducing the overall cost of construction, or completing the project earlier, or making the project operate more rationally. However, it should be noted that the original tender plan must also be quoted for the owner's comparison.

3.4 Use unbalanced quotations to minimize risks

The key technique of Bill of Quantities quotation is to make the most of the unbalanced quotation method. Of course, before using the unbalanced quotation method to quote, the most important basic work is to calculate the difference between the number of works provided in the bill of quantities and the actual number of works constructed. 


If the quantity of work provided by a sub-item of the bill of quantities is less than the actual quantity of work constructed, the quotation of the sub-item will be increased as much as possible at the time of quotation, and if the quantity of work provided by a sub-item of the bill of quantities is larger than the actual quantity of construction work, the quotation of the sub-item will be reduced as much as possible at the time of quotation, so that the contractor will get the corresponding excess profit.


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