Procurement and Tendering

Procurement and Tendering

The first thing to achieve this competency is to understand the difference between contract, procurement and tendering!

• Contract: Selecting the suitable form of contract within the JCT suite of contracts, NEC, FIDIC, ICC, etc.

⇒ Selecting between NEC Option A or B is not relevant to this competency!

• Procurement: Traditional, Design and Build (including EPC for those in the MENA region), Construction Management and Management Contracting.

Some more unusual routes may include frameworks and partnering.

Procurement routes can be further broken down by basis of contract sum: lump sum, target cost, measurement, reimbursable, etc. However you should refrain to mention how you selected the form of contract under this competency.

• Tendering: Open, competitive, negotiated.

Alternative categories: single-stage, two-stage and negotiated.

Essential reading:

⇒ JCT Tendering Practice Note 2017

⇒ FIDIC Tendering Procedure 2nd Edition (1994)

 

If you are working with public clients, you need to study the Public Procurement regulations in use in your country, even if your projects have always been below the threshold or procured under framework agreements.

If you are working in the EU, you will know public procurement as the ‘OJEU regulations’. This includes;

• How the EU Directives are transposed into your national legislation
• Threshold levels
• Procedures available
• Timescales
• Most Economically Advantageous Tender (MEAT)
• Standstill periods and Alcatel letters

 

If you have to take this competency at level 3, you are almost certain to be asked how you advised a client on a suitable procurement route. Or if you work for a contractor, how you advised on procurement routes for a specific works package. If you simply answer that you considered time, cost and quality, this is a level 1 answer only.

A level 3 answer would be explaining that it was a school project (for example) and that it had to be imperatively completed for the new term, that accountability was essential because it was publicly funded and explaining (briefly) how your recommended procurement route fulfilled these objectives under the specific circumstances of your project.

 

There are many other topics that we cannot cover under this blog; those are listed under your pathway guide, so please do refer to it while writing your summary of experience!

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Best of luck!