Discuss about the Effect of Competitive Tendering on Value in Construction.
Principal- The Mining ministry any person who is willing equipment which shall be used in carrying out mining activities.
Tenderer- There is no restriction since this is an open tender, any person who is capable to offer the services needed is called upon to do so.
This particular tender is based on the following principles;
This particular assignment shall be undertaken with any person who shall complete the duty after the selection without any delay
The procedures for tendering is discussed below,
1.1. Pre-tender
1.2 The tender document shall be purchased at 5000/=
1.3. No client shall be allowed to go through the document before buying it.
1.4. The principal shall not recognize any cost used in preparing the documents. Any question concerning documents shall be done in writing or using mail 1 week before the submission date proposed (Greg, 2008, p. 23)
3.1 Only English shall be used in writing all the proposals and any official information concerning the tender.
3.3 During proposal preparation, the client shall center all his or her effort on,
Tendering inquiries
3.5. The following information shall be provided by the Technical Proposal
3.6 The exclusion of information on financial matters must be considered in the Technical Proposal.
3.7. The prices shall be presented on this assignment by the tenderer in the course of preparing the technical proposal
The Ministry of Mining summonses the proposal form from the attracted qualified tenderers to deliver equipment which shall be used in the mining of quarries needed for building government houses for the refugees in the country. The mentioned prices shall be net inclusive of all taxes and shall stay valid for a span of 120 days from the date of closure of the proposal. The filled tender documents MUST be sealed off in sealed envelopes patent with the number of tenders written and shall be deposited in the tender box provided at
The Permanent Secretary,
The Office of Mining.
Twin Towers Opposite Central Bank
2nd-floor Tender Box
The document will be opened instantly in the attendance of the tenderers representatives who agreed to appear to the opening at the boardroom.
The tenderers are informed that the selection shall be done based on Quality Cost Based Selection in accord with the policies highlighted in the Public Procurement and Asset Disposal Act.
4.1 The number of copies to be produced is indicated in the tender document.
4.2 The envelope containing original and all duplicates of Technical Proposal shall be closed and labeled TECHNICAL PROPOSAL (Silica, 2015, p. 321)
5.1 The assessors shall not peruse financial proposal shall be perused by the assessors before the completion of technical proposal evaluation (Collins, 2008, p. 168).
5.2 The below standards will be used during the assessment of the proposals by the appointed committee.
|
POINTS |
|
|
The experience the tender has concerning this assignment |
20% |
|
Sufficiency of the anticipated work plan and methodology in responding to the terms of reference. |
30% |
|
The tenderer competence and qualifications |
30% |
|
Sustainability to the transfer of Technology program |
20% |
|
Total Points |
100% |
The proposal shall be opened in attendance of all agents standing on behalf of the tenderers. The prices and the name of every tenderer will be announced loudly when the financial proposal is opened.
7.3 The procurement entity shall be appointed to assist in negotiation process.
7.4 Award of the contract
7.5 The contract will be awarded based on the negotiation. The tenderer who will be successful to win the contract will be enrolled while those who will not be successful, their financial proposal will be returned to them (Greg, 2008, p. 124).
7.6 The chosen client is anticipated to begin the assignment on the date and setting specified in the document
7.7 The parties involved in the agreement shall lay their signature in thirty days after awarding the contract.
OBLIGATIONS OF THE CLIENT
All the strength shall be applied to ensure he renders assistance to the contractor in case he is needed. (John, 2015, p. 120).
7.8 The commission in charge of finance will assist in finding in case the financial proposals are complete. (Kelvin, 2008, p. 298)
7.9 The formula for determining the financial score will be Sf= 100XFM/f whereof is the financial score; F is the proposal price.
8.0 The evaluation of the tender will be done in three weeks starting from the time of enclosing the tender.
8.1 The varying of the price of the contract shall not be permitted for the contracts not surpassing one year.
The tenderer shall only carry out the task mentioned in the document and they should not involve themselves in illegal activities which are not governed by the laws of Australia. All legal matters shall be taken into consideration to avoid conflicting of assignments which later increase the cost of what was budgeted for.
The following estimates are made concerning the contract;
The workers adding up to 8 are expected to help during service delivery
1.4.2. Project plant
Motor-vehicles shall be needed in order to find a way of transporting mines to where they are required and the number of vehicles that are required are estimated to be 10 in total.
1.4.3. Project material
In order to erect the construction, several materials are needed to be put in place up to the point where it is decorated. Example of materials required include are iron sheets, cement, bricks and others. (Lawrence, 2009, p. 67)
In the course of performing the task mentioned in the tender document, other services will be contracted to those contractors who are capable of rendering services needed by the Ministry and got good reputation and only one subcontractor will be required for this specific task.
FINANCIAL JUSTIFICATION AND ARRANGEMENT
Financing of the projects
The tenderers are notified to have the required capital to commence the project since the firm shall pay the selected tenderer after he or she completes the project and offered the completion certificate. The tenderer shall submit their financial statement since the company shall not be reliable for work not done as a result insufficient capital.
……………………………………(DATE)
To………………………………………………………
………………………………………………………….
(Client name and address)
Ladies/ Gentlemen
The signatories reach an agreement to deliver mining equipment to the ministry in agreement with your Request for Proposal dated……………………. Our close Financial Proposal is for the sum of ………………………………………………………………………………… (amount to be included in words and figures) tax inclusive.
We remain
Yours candidly
………………………………. (Certified signature)
…………………………………… (Name and title of cosigner)
………………………………… (Name)
…………………………………………. (address)
Cost summary
|
Cost |
Currency |
Amount |
|
Subtotal Taxes Total Amount of Financial Proposal |
………………………….. …………………………… ………………………….. |
Laws Governing the contract- This contract is the meaning, clarification and the relationship between the parties and shall be governed by the Laws of Australia.
Language- All the official documents and filling of the proposal form will be done in English (Rhoda, 2014, p. 129)
Services-All the services needed shall be performed at the location specified at the beginning of the document (Kelvin, 2008, p. 56).
Authorized Representatives- All the activities needed to be done Any action needed to be accomplished by the officials specified in the document.
Taxes – The contractors and subcontractors will be responsible for paying all the taxes and duties as required by the law of Australia (Greg, 2008, p. 21)
Expiration of the contract- The contract shall only be terminated after the actual date as quantified in SC (Rhoda, 2014, p. 674).
No Breaching- The failing of a party to accomplish any of its duties under the contract shall be deliberated to be a breach.
Payment-In a situation of inability to carry out the duties, the contractor shall be eligible to continue to be paid (Rees, 2012, p. 452).
Delayed Payment interest-Payment shall be made in 30 days of receipt of the invoice and relevant documents and in case of delays then the contractor shall be paid simple interest for each day of delay at a rate of three percentage points (Peter, 2013, p. 32
Lamp-Sum Remuneration- The total remuneration shall not exceed the contract price
Price of the contract- The billed price to local or foreign currency is set forth in the SC.
Terms and Conditions of Payment-The contractor will be paid the after attaining all the conditions listed in SC (Kelvin, 2008, p. 234).
Termination of the contract-The client shall terminate this contract by not less than 30 days’ written notice of termination to the contractor (Rhoda, 2014, p. 78).
Amicable Settlement of disputes- The parties shall use their best effort to settle the arising disputes amicably or in connection with contractor its interpretation (Philip, 2012, p. 189)
Customer focus- Application of the customer focus principle shall improve logical handling of the customer association, measuring customer contentment and acting on them and researching and understanding the experiences and needs of the customers (Obonyofya, 2009, p. 348).
Involvement of people- The participation of people in the ongoing activities shall make people comprehend their starring role and support to the organization, creativity, and innovation in fostering the objectives of the organization (Rees, 2012, p. 98).
Continuous improvement-The general organization performance of the shall be an everlasting objective since it will lead to acknowledgment of developments. (Lewis, 2012, p. 347)
Requirements for document management, reporting, and governance
Safety management review- Tenderers shall ensure that they understand the safety measures involved in taking large projects.
Safety implementation- The tenderer shall abide by all the safety procedures and the process of the tendering company- OHS policy- The principal shall allocate the budget for OHS professional, ratio safety officers to workers and appointment of OHS professional.
References
Collins, S. (2008). Effect of Competitive Tendering on Value in Construction. Grupo Planeta.
Greg, B. (2008). Construction Tendering and Estimating. Adventure Works Press.
John, K. (2014). The Management of Facilities. Ridders digest.
John, P. (2015). Construction Tendering. Adventure Works Press.
Johns, P. (2013). leisure and Sports Management. Informa.
Kelvin, C. (2008). Civil Engineering Tendering Contracts. HarperCollins.
Lawrence, M. (2009). The law of Performance Bonds. McGraw-Hill education.
Lewis, H. (2012). Bids, Tenders and Proposals. Scholastic.
Marsh, P. (2009). The Art of Tendering. Sanoma.
Obonyofya, T. (2009). Importance of Building Contract Management. Simon & Schuster.
Peter, A. (2013). Estimation and Tendering. OLMA Media group.
Philip, J. (2012). The Public Procurement and Procurement Act. Adventure Works Press.
Rees, G. (2012). Code of stimating Practice. Hachette Livre.
Rhoda, M. (2014). Tenders on Government Projects. Wolters Kluwer.
Silica, L. (2015). Tendering Process. China Publishing Company.
Tim, B. (2008). The Process of Tendering. Media Participation.
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