Tender and Procurement Assignment Help

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Qualification - Pearson BTEC Levels 4 and 5 Higher Nationals in Construction and the Built Environment

Unit Name - Tender & Procurement

Unit Reference Number - J/615/1399

Unit Level - Level 4

Unit Number - Unit 13

Assignment Title - Tender & Procurement

Unit Credit - Credit 15

Learning Outcome 1: Define what constitutes a tender and the information required for this process

Learning Outcome 2: Explain the procedures and contractual arrangements for tendering

Learning Outcome 3: Analyse the factors that affect the selection of construction procurement methods

Learning Outcome 4: Calculate an estimate for a work activity.

Introduction: For a client, the process of procurement, obtaining the services of a main contractor to construct their project, is often complex. The selection of a contractor that will meet the expectations of a client is essential, so that time, quality and cost constraints are met and no delays, overruns or budgets exceeded. Tendering is the process of obtaining a price for the designed and specified works. The importance associated with contractor selection cannot be overstated for the successful completion of a client's project.

The aim of this unit is to provide students with the knowledge to select a procurement route and an appropriate tendering method in the awarding of a project to a main contractor. Students will gain knowledge of how to prepare a tender package in procuring a contractor for a client's work. Many different procurement methods are available to achieve this: from open to closed systems.

Topics included within this unit are: tendering constraints and information, the documentation needed to send out a tender, the factors that affect procurement, and the procurement methods that can be used to select a contractor.

On successful completion of this unit students will be able to obtain an estimate for a client's project, at the design stage, using a suitable procurement method. In addition, students will have the fundamental knowledge and skills to progress on to a higher level of study.

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Content:
LO1 Define what constitutes a tender and the information required for this process

Information required to produce a tender:
Decision to tender, preliminary information received, type of client or stake holder, private or commercial clients, stage of the design drawings, provisional timescale, pre-contract Health & Safety plans, elements required for tender, tender resource allocations, electronic or hardcopy tender process, type of work, capacity to tender.

Constraints on tendering:
Time allocated to the compilation of tender documentation, selection of list of tenderers, allocated tendering time, return date and time, resources implications in terms of hardcopy, poor tender presentation, insufficient information sent out to contractors, revisions to design.

Tendering documentation:
Design drawings, tender drawings, covering invitation letter, the form of tender, tender submission breakdown, list of drawings, specification, bill of quantities, preliminaries, pre-construction information, form of contract to be used on the project, contract conditions and terms, tender pricing document, employers requirements, nominated and named contractors, a building information model, tender return instructions, tender return envelope, references to any code of practice for tendering procedures, Building Information Modelling.

LO2 Explain the procedures and contractual arrangements for tendering

Tendering stages:
Decision to tender, tender preparation strategy, tendering arrangements, pre- qualification questionnaire, compiling lists of prospective tenderers
Selection criteria: experience, references, professional association status, ISO registration, recommendations, clients, preferences, interview, presentation, financial accounts, Health & Safety record, rotation on a select list, listing against financial capacity, previous performance feedback.

Tendering processes:
Types of tendering: open, selective, negotiated, serial, framework tendering, single stage and two stage tendering, advantages and disadvantages of each approach applied to a project, criteria for the selection of tendering method, reference to type of contract, design and build, size of project, financial costs.

Contractual arrangements:
Criteria for the selection of type of contract e.g. forms and agreements, terms and conditions, schedule of rates, lump sum, design and build, legal responsibilities
Standard forms of contract: Joint Contracts Tribunal (JCT), New Engineering Contract (NEC), and any local contractual agreement or documents e.g. FIDIC, International Construction Contracts, level of information provided at tendering stage.

LO3 Analyse the factors that affect the selection of construction procurement methods

Issues associated with procurement of projects:
Current issues (associated with procurement and contractual arrangements), issues originating from government, professional and statutory bodies and contracting organisations, recommendations from the sector and government- sponsored reports, differences between public and private procurement, developments and trends in practice e.g. Building Information Modeling L2 for public sector and asset procurement, aspects of practice, Official Journal of the European Union (OJEC), procurement strategy within Europe under the European Procurement Directives, International Trade Agreements and Government Directives.

Factors affecting procurement routes:
Time, cost, quality, client characteristics e.g. government or private sector, the project characteristics, time frame factors, level of risk associated with the project and what apportionment between client and contractor, environmental considerations, sustainability, financial planning, stage of the design (fully designed, partially), complexity of the building in terms of different services procured separately and nominated, OJEC rules and compliance with European bidders.

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LO4 Calculate an estimate for a work activity

Project parameters:
Client's budget, client's agreed procurement strategy, project balance, risk and project management, available procurement time against design detail completed, fast track construction and the stages when design information will be available, level of specified quality required, policy constraints (internal and external), cost constraints in terms of value and contractors approved lists, auditable value for money, political constraints, level of client knowledge.

Procurement methods and contractual arrangements:
Common methods of procurement: traditional contract, single and two stage design and build, management contract or contact management, lump sum with bill of quantities, lump sum with specification, prime contracting, associated contract with method of procurement, Building Information Modelling.

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