MERIT POINTS AND WEIGHTED RANKING

An analytical approach in the tender assessment is by merit point system applied to all factors considered important to the performance of the project The tenders are weighted in order of their relative importance. The factors are rated on a predetermined scale and total rated scores are calculated. The submitted tenders are then examined critically against these set of values.

MERIT POINT SYSTEM Max points A. B. C. D. E. F. G. Tender figure Completion time Presentation of tender documents Personnel and staff holding Background, experience and workload Plant and equipment List of basic prices (labour & materials) Total RATES AND WEIGHTED RANKING Tender A Technical evaluation Head office support Programming Innovation in construction Materials handling approach Quality of management system Quality of site supervision Sub total Commercial evaluation Tender price Financial status Availability of resources Market Share Staff training Professional reputation Risk management plan Sub total Total rating 5 8 7 5 5 7 37 9 8 7 7 8 8 4 51 88 Tender B 8 6 6 6 8 8 42 6 6 7 8 6 6 6 45 87 50 10 5 10 10 10 5 100

Then, the technical and commercial scores are totaled for each tenderer and a ranking order established. Set the weights between technical and commercial evaluation to a 40:60 ration. Technical evaluation (40%) Commercial evaluation (60%) The final rating 14.8 30.6 45.4 16.8 27 43.8

RECOMMENDATIONS TO THE EMPLOYER The purpose of tender report is to enable the client to decide whether to accept any of the tenders. The scope and detail of the report will vary according to the circumstances. The report on tenders must be careful to present a balanced view, and not over or understate the case for any tenderer. It is important not to mix fact and opinion. The facts and evidence should form one statement; any comment should form a separate statement.

Features of the statement: All the tenders received; the name of the tenderer, the tender sum, whether valid (due compliance) and qualifying conditions A summary of the examination and analysis of each tender, or say, of the three or four lowest tenders. Proposed programme and construction techniques and reasons for considering any of these unsatisfactory. Comments on any rates that appear exceptionally high or low, and forecasts of the possible effects on the contract price in cases where there are large differences. Comparison of the recommended tender sum with the consultants estimate. Recommendation of the most acceptable tender. Recommendations for dealing with any qualifications in the recommended tender prior to acceptance.

PROCEDURE FOR ACCEPTING TENDER / NOTIFICATION OF RESULTS A tender needs to be accepted within a reasonable time of its submission, otherwise a contractor may have grounds for withdrawing it. Sometimes the employer stipulates for how long tenders are remain open for acceptance, or a tenderer may state this in his offer. Delaying in accepting the offer may put a contractor in a difficult position such as rising the costs of the project.