Cpntracts and Accounts Microproject PDF

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Acknowledgement

I would like to express my gratitude to my guide and teacher Ms.


S.A.Bhole who provided me the amazing opportunity to do this
wonderful Micro-Project of the Course title ‘Contracts and accounts’
(Course code:22601) on the topic ‘Report on tender document and
tendering process ’.
Secondly, I want to extend my sincere thanks to our Principal well
as the Head of the Department of civil department who have been an
invisible spirit and inspiration to me throughout the process.
Also, I would like to thank every one of my group members who
helped me lot to conclude this micro-project within the limited time
frame.
Format for Micro Project Report

Title of the Micro-project: Report on tender document and tendering


process.

Brief description :
Tendering is the process by which bids are invited from
interested contractors to carry out specific packages of construction
work. In this
project, tendering process and its documents are mentioned.

Aim of the Micro-project:


To learn about on tender document and tendering process

Course Outcomes integrated:


Prepare the tender document for civil engineering works

Actual procedure followed:


After forming the groups the students in the group started to work on
the Micro-
Project as guided by Ms.S.A.Bhole. She advised us to collect the
materials as soon
as possible to sort. Every team member helped in completing the
project as quick
as possible.
Actual resources used:

Name of Specification Qty Remark


Sr.no resource
1) Contracts Nirali Prakashan 1
and
accounts
2) Tendering Website
methods, -
Procedures
in
Construction
- Basic Civil
Engineering

Outputs of the Micro-project-


About Tender

1. Open tender
Open tendering is the main tendering procedures employed by both
the
government and private sector. The client advertises the tender offer
in the local
newspaper. Giving detail and key information about the proposed
works and
inviting interested contractor to tender. In the legal sense such tender
notices
constitute invitation to treat, a mere request by the employer for
suitable
contractor to submit their bids or offers.
2. Selective tender
Selective tendering is the one alternatives developed to address the
limitations of
the open tendering procedure. In this method, a short list of contractor
is drawn
up and they are invited to submit tenders. The purpose of the elective
tendering
are to improve the quality of the bids received, to ensure that
contractors with
the necessary experience and competence are given the opportunity to
submit
the necessary bids, due to urgency work involved, for specific reasons
of the
employer, e.g. security reasons in government projects, Etc. and to
make the
tendering procedure more manageable and less a burden on the parties
involved.
Such list may be prepared through recommendation from the Client’s
professional adviser whom have knowledge of the Contractors
undertaking the
work in the past or advertisement through the newspaper (pre-
qualification).
The advantages and disadvantages of the selective tendering are stated
below.
Only the competent contractors were invited to tender, then the
lowest can be
accepted.
Reduces the availability of work for other contractors especially
new contractors.
3. Negotiation Tender

Negotiation tendering is extensively used in the engineering and


constructionindustry commencing from tendering till dispute
resolutions, i.e. under the stylesof pre-contract negotiations and post
contract negotiations. Usually with singlecontractor but may be up to
three contractors.

Negotiation process involves are as follows:

Identification by the employer of a suitable contractor to negotiate


with.

The contractor can be selected either from the employer’s own list
of preferencesor on the advice of the professional team.

The contractor being apprised of the work scope.The selected


contractor is issued with details such as the scope of work
involved,relevant drawings, design and /or information to enable him
to appreciate theextents of obligations and the employer’s actual
needs. Some employers prepareand issue to the contractor proper
tender documents inclusive of a nominatedbills of quantities to assist
contractor in pricing the works for the forthcomingnegotiations.
Selection of suitable contractor

This involves the selection of a suitable contractor and the


establishment of a
level of pricing for subsequent negotiations.
The objective is to select suitable contractor as early as possible is
to work
together with the professional team and to establish a level of pricing
for
subsequent negotiation.
The criteria for short listing is normally confined to items such as
technical and
financial capability, experience in similar works and extent of
resources
(manpower, plant and equipment).
The pricing document should be flexible enough to cater for
adjustment of price
fluctuation for the period between two stages and the pricing of the
second
stage.
In selecting a suitable candidate, a basis for pricing the subsequent
second stage
should be established accordingly.
Tender Documents
1. Title page: Regarding the agreement number
2. Index
3. Tender notice
4. General instruction
5. Special conditions
6. Form of contract
7. Schedule A: Showing the details of material to be supplied by
department
8. Schedule B: Bill of quantities
9. Schedule C: Detailed item wise specification and drawings.
10. Specification
11. A complete set drawing

Tendering process:
There are some significant differences between public and private
sector
tenders.

Traditionally, public sector procurement was split into three stages:


1. Expression of Interest (EOI)
2. Pre-qualification Questionnaire (PQQ)
3. Invitation to tender (ITT)
Private sector procurement has these stages, with acronyms starting
with “R”:
Request for Information
Request for Tender

Request for Quotation


Request for Proposal
Request for Offer
The public sector now effectively merges EOIs and PQQs into single
Supplier
Questionnaire (SQ). An Obvious difference between the two is that
the volume
of public tenders is far more than private ones. Private sector tenders
are much
harder to source, in contrast with public sector tenders which are wide
open to
public examination.
he public tendering process is highly structured and successful public
tendering
follows these steps:
Identify a relevant opportunity – The first step is to identify the
relevant
opportunities & tenders are found easily on the BidAssist portal
according to your
requirements.
Make sure you fulfil the requirements – Once you have
identified the
opportunities, the next step is to go through the specifications to
check whether
or not you meet the requirements of the tender process by
downloading the
tender notice.
The following questions can be mooted to go ahead further:
1. Whether my organization can afford the time and cost involved, if
we don’t win?
2. Does my organization meet the technical skills and expertise
required?
3. Does the work fit with my organization’s strategy?
Express interest to the buyer – Now, If you are confident enough
that you meet
all the requirements as mentioned above, it is time to express your
interest to the
buyer which is known as “Expression of Interest”. This is simple and
involves
outreaching the buyer authority and requesting the full documentation
or
downloading the same via an online portal. Similarly, tenders can be
issued
through:

1. Request for Information- Help defining the project


2. Request for Proposal – Project requirements are defined but
creative and flexible
solutions are required.
3. Request for Quotation – Invite businesses to quote for specific
goods and services
4. Request for Tender – An invitation by public advertisement
If the open procedure is used, you will need to submit a full tender at
this stage.
Otherwise, for all other processes, buyers use the restricted procedure
to trim
the number of applicants before the tender stage.
Complete the Pre-Qualification Questionnaire – At this stage,
buyers will send a
Pre-Qualification Questionnaire which stimulates the selection
process. To aid
and streamline the process, the Government has released a
standardised
Selection Questionnaire for scrutiny.
Invitation to Tender is issued – After PPQ has been received, it
will be assessed
and evaluated against their criteria. Each tender should adhere to the
requirements to increase the chances of winning the tender. Once
evaluation is
done, tenderer will be selected and notified of their successful tender
and others
of the unsuccessful submissions. If you are successful at this stage,
you will join
the buyer’s shortlist.
Submit full tender response – You have covered all the initial
steps included in
the tender process. The buying authority has reviewed your
application and is
assured that you have the given resources and expertise to meet all the

requirements and they invite you to tender. Here comes the most
crucial step-
submitting your tender response.

Skill Developed/Conclusion:
1) A tender can be described as an offer to perform some task or
supply goods
at predetermined prices.
2) Once the client accepts the tender, it is binding on both the parties
involved.
Tenders are accepted while adhering to the policies that guide the
procurement
framework.
3) E-tendering process was designed to get away with wrongdoings
involved in
traditional methods of bidding. The development of e-procurement
software
has further

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