B327 Creating Futures Sustainable Enterprise and Innovation

Subject Code :
B327
Country :
KW
University :
Arab Open University

Answer:-

Introduction

In the current report focus will give on the development of an effective tendering process for the construction company. In the context of the construction field, tendering is essential to enhance operational activity accuracy. For getting enough profitability from the tendering process, the selection of a suitable tender is critical. Due to this background, enhance profitability ratio analysis will develop to make sense of the barriers. Early identification of the obstacles will help the construction company to mitigate their adverse impact on the company. The analysis will develop to identify the impact of these critical issues in tendering decision process. The outcome of the construction project is depending on the effectiveness of the selection process of tendering. For making this operational activity, appropriate development of a time schedule is essential. The development of a proper time schedule will develop the scope for project accomplishing within the estimated time. The presence of adequate project planning will enhance the relevancy of the project outcome. Here in this discussion, the focus will develop on managing the project's scheduled plan. The scheduled work and management system will develop the cost management practice in the project. Lack of a proper scheduled plan will develop the executive action in estimated cost and time management in the current project.

Discussion on the Tender Process Making

Identified Key Issues

In the context of the tendering process, it is essential to make the project outcome relevant. In every construction company, they develop a proper documentation process for developing tender process making a decision. Many construction companies have been started to adapt the e-tendering model to make the business operation flexible and trouble-free (Al-Yahya et al., 2018). The reason for giving focus to the tendering process is to eliminate the risk factors that will come from the inappropriate tender selection. Apart from this tendering is not enough to ensure the project's success, but it facilitates the project outcome's success.

Developing effective decisions on tendering process presence of the project manager or leader's required skill is essential. Lack of tendering skills produces a risk for the company. If the leader has efficient information about the business need, they can adopt the correct decision. The effectiveness is entirely depending on the skill of the leaders. Without the ability to identify the tender process's authenticity, the construction project's relevancy will fall. There is an existing probability of counterfeit documentation representation in tendering, and it can detect only when the leader has the ability.
Lack of documentation will develop the issue in the tendering efficiency. The existing business report indicated that neither authentic documentation e-tendering nor offline tendering would result in failure (MURAYA SHARON, 2018). If the leader remains unable to record the company's needs, they will fail to evaluate the suppliers responding in the tendering process. The presence of improper management regarding skill and documentation will develop the construction company's tendering process issues. Lack of documentation will result in time and cash overflow in the project. The leader will face uncertain pressure in project accomplishing.
If the construction company thinks to purchase a low-price offer, they have to enough knowledge about it. The availability of product experts in the construction company is essential. Lack of product expert skill will never develop the scope for understanding the critical difference between target and delivery process. Apart from this, focusing only on price sometimes develop the consequence for it. Focusing only on one factor will develop the negligence of other essential elements like quality, sustainability, and compliance, etcetera. Corruption is a critical issue in the field of construction or others. Lack of documentation and skill of the leaders develop the potential of corruption development in the business (Zhang et al., 2017). The rate of corruption may vary or reduce by the skill of the leaders of the company.
In some company suppliers also get involved in tendering process, which develops the issues. The absence of a pre-qualifying process will develop the risk for the supplier involvement in tendering process. Many business incidents clearly indicated that a faulty tendering process develops pressurizing condition incidents to investors (FANNED OBINO, 2017). The tendering process is an essential key consideration of the business operation. Each of the elements needs to be prioritized to make the outcome effective for business growth. In the functional activity of the tendering process, chances of corruption and manipulation are presented every aspect. In this context lack of tendering skill of the leaders leads to develop potential threat for the business condition.
Sometimes involvement of the stakeholders in the tendering process will develop issues for the company. If the company's stakeholders have no emotional attachment, they will always think about securing their investment rather than the company's benefits. In many governmental projects, the public-private relationship has become a major key element to enhance business operation (Nederhand and Klijn, 2019).In this context, there is also some potential key issue that is about the ethical value of the involved stakeholders. If the leader does not pay any attention to the business stakeholders' activity, it will develop issues in business growth sustainability.

Analysis of the Issues Impact on Decision Making Process of Tender

The presence of these potential issues will develop an impact on tendering the decision-making process. Identification of the exiting issues will help the construction company mitigate their impact on its success. Having accessibility to the underlying issues will help the company leader make an accurate decision for the tendering process.

The absence of the tendering skill will develop the risk of selecting tendering for the construction company. The identified issues can eliminate by appointing a skilled leader who can facilitate the tendering process's success. The tendering process is vital for the company to make it is future sustainable with a standard profitability ratio. The availability of a skilled leader will make an appropriate decision to optimize the company project's operational productivity. At present many construction companies engage their business strategy by integrating the e-tendering process (Al-Yahya and Panuwatwanich, 2018). Presence, the issues of inadequate knowledge of the leader about tendering will develop the vulnerabilities in the company's decision-making process.
If the company only focuses on lowering the tendering process's price, it will clearly reduce the company's relevancy. Getting this alert construction company can bring their attention to other considerable factors like quality, sustainability, and etcetera. Covering all the key components of the tendering process will develop the tendering decision-making process's accuracy. Existing vulnerabilities will develop issues in low-quality project delivery (Kusumarukmi and Adi, 2019). Only focusing on the benefits sometimes develop an adverse impact on the security of the company.
Development of the pre-qualifying process is required to mitigate the impact of tendering decisions. If the company implements this prequalification step for the supplier’s engagement, it will reduce the company's issues. As a consequence, the result relevancy will high.
In the context of stakeholder’s involvement, in that case, the leader should become concerned about the activity and authenticity of the stakeholder’s decision. Otherwise, it will adversely affect the tendering process's relevancy in the construction company. Early identification of the key issues and eliminating them from the company will develop the construction project outcome's relevancy.

Formation of the Pre-Tender Program

Time Schedule for the Main Construction

Duration	Activity
Site Inspection for the project plan formation · Inspection of the availability of the transportation system of the site · Checking the position of the labor employment · Analysis of other ongoing construction work of the area · Checking the accessing route of the project site · Soil condition is also analyzed before taking the final decision about the site confirmation	1^st week of May to 3^rd week of May.
Analysis of the ground condition of the project site · Evaluation of the topographical condition of the site ground · Checking the surface water condition at the site · The analysis will develop for checking the details of trial pits and water table levels	4^th week of May to 1^st week of June
Analysis of the extent of temporary work that is required for project progression · Analysis of the site security is required to enhance the safety of the site workers · Lighting condition is also checked to strengthen the security in site work · Evaluation of the temporary service that is required to continue the project work	2^ndweek of June to 4^th week of June
The analysis will develop to check the availability of the subcontractors	1^st week of July
Checking the availability of the laborers in the construction site	Middle of 1^st week of July
The analysis will perform by the engineer to finalize the site for the construction project	2^nd week of July
Evaluation of the technology availability of the construction project	3^rd week of July
Resource availability should analyze	4^th week of July

Management of the Estimated Duration in the Project

Task no.	Task	Duration	Responsible	Potential Constraint and Mitigation
1	Site Inspection	1/5/2021-4/5/2021	Construction engineer, project manager	In the context of site inspection, potential constraints are resource waste. If the responsible recruit person did not play their role, it would develop the crisis of resource management of the project. Besides, this lack of inspection ability also develops issues in developed project quality. Appointing a skilled engineer will ensure the authenticity of resource usability in the project. Lack of a responsible person's ability will develop cost and time management (Matveeva, Doroshenko and Sukhanova, 2019). Sometimes limitation of the authentic data availability develops the issues in developing suitable tendering decision for the company. Identified potential constraints can mitigate the project's progression by recruiting a genuine engineer and manager for the company.
2	Transportation system availability check	5/4/2021- 10/4/2021	Project manager, Accountant and workers	Potential constraints in this context are lack of documentation available, unauthentic feedback covering from the local population and lack of inspection skilled of the responsible person. The presence of these potential constraints will have an adverse impact on the project delivery quality. The availability of improper feedback sometimes develops confusion for the decision-making process of the construction project. Resource overflow sometimes develops the economic pressure on the involved accountant of the project. Proper inspection strategy development will create a higher standard of project delivery.
3	Monitoring of ongoing site project	4/4/2021-10/4/2021	Project inspector, project manager, site engineer	Potential constraints in this site project inspection are the time shortage. If the responsible persons take a long time to analyze this part, it will develop an uncertain crisis in the project delivery within the estimated time.
4	Inspection of Soil condition	10/4/2021-22/4/2021	Site engineer, project manager	The potential constraints in the soil inspection are improper information collection. If the gathered information remains less beneficial, it will interfere with the quality of the project. The identified issues can mitigate by the proper analysis process and appointing an ethically suitable person for the project. The formation of an effective managerial system within the project will develop the project's authenticity (Obbayi, 2019). The reason for giving this concern is that the development of construction has an impact on the health of the local people.
5	Analysis of the topographical and water condition of the project site	29/4/2021-6/6/2021	Site engineer, stakeholders, accountant	Analysis of these criteria is mandatory. It facilitates the future condition of the project. If the involving persons give less attention to the project site's graphical position, it will develop the risk for future sustainability. Otherwise, the whole project task will stand in a fragile condition.
6	Analysis of lighting and service facility at the project site	9/6/2021-24/6/2021	Project manager, site engineer	Potential constraints of this context are lack of concern about temporary service requirement. Lack of temporary service will develop issues for the security of the workers. If the manager remains unaware of the service availability, it will reduce the project quality at the moment. The site engineer should be more aware of the security standard of the project. Otherwise, the success may remain in at a vulnerable position.
7	Subcontractors’ availability check	2/7/2021-9/7/2021	Project manager, finance team, stakeholders	It is a very crucial key element in the path of developing a proper procurement process. If the responsible team becomes less appropriate for this inspection, it will affect the project's managerial action (El-khalek, Aziz and Morgan, 2019). It will decrease the quality of the project.
8	Evaluation of the labour availability	5/7/2021-8/7/2021	Project manager	Labors are the pillar of the project development process. If the manager only focuses on availability, it will develop a compromise in project quality. Only availability is not enough presence of appropriate labors are essential to ensure the project quality. Otherwise, a lack of skilled laborers will enhance project sustainability (Afolabi et al., 2018).
9	Technology availability	19/7/2021-24/7/2021	Project manager, technical team	The main identified constraints are the capability of the inspection. Technology availability is not enough to enhance the success of the project. If proper inspection and training facility will available, it will become beneficial only on that point. The percentage of total profit ratio will enhance only at that time when proper accommodation will be available in the project (Zhan and Pan, 2020).
10	Resource availability	20/7/2021-31/7/2021	Project management. Finance, stakeholders	The main potential constraints in this criterion are market knowledge. If they do not have adequate knowledge, they will never be able to secure their cost management. Resource availability is an essential criterion to make the project quality high as expected of the company.

Cost Estimation of the Activities in the BOQs

Recommendation

In the context of construction project development of proper management process and the scheduled plan is necessary. Otherwise, the presence of a haphazard plan of actions and managerial process will decrease the project quality. Consequently, potential hazards like cash overflow, delayed process and group conflict, and declining quality will observe. The project's success depends on the management decision for extending the success of the project (RadujkoviÄ‡ and Sjekavica, 2017). If the project manager remains incapable of handling the project's uncertainty, then the profitability will remain in an invulnerable state.

The presence of a skilled project manager will develop the quality of the project. Skill is an essential tool that makes the project outcome relevant. The presence of the tendering skill along with market knowledge will enhance resource security. It will enhance the relevancy of the decision-making process in the project.
The project manager should engage their focus on the involved members’ actions in the project. Having control over the activities of the project members will enhance the authenticity of the project audit system.
Having the facility of the appointed manager's analytical skill availability will enhance the knowledge about the decision-making process. Analytical skill enhances the project material availability in project favor. If the project team develops the scope that enhances the management process, it will positively affect the project's profitability and success rate.
Technology availability and usability monitoring both are essential to make the project progression appropriate. If the project team has the facility to provide training to their employees, it will enhance the project's quality assurance.

Conclusion

In the current report, the focus has been developed on the formation of the effective tendering process in the construction project. The tendering process is essential to make the operational process more effective in business favors. For developing an effective tendering process in business, having some criteria is essential. It includes the manager's skill, the ability to detect the authenticity of the documentation, others. Analysis has been indicated that having the issues like lack of skill or ethically unsuitable project members will directly decrease the quality of the project. It has been observed that it also affects the decision-making process of the company.

In this report, the discussion has been developed to distribute the available resources to each project task. Development of the schedule will develop the management of the available time and cost in the project. Beside this adverse impact of the potential issues in the tendering process has been evaluated. This finding’s recommendation has been developed for making the project progression more sustainable. The recommendation's focus has been developed to mitigate the impact of the potential issues of the tendering process. The formation of the mitigating strategy will help the construction company to ensure their project delivery relevancy. The current focus discussion has been developed to identify the key issues in making the project accomplishing successful. In a successful project accomplishment having project managing knowledge, analytical skill, and effective skill are essential.

If the construction company appoints a skilled project manager, it will facilitate the outcome relevancy. In the report, a focus has been developed to evaluate the scheduled task's effectiveness in a construction project. If the project manager can detect the underlying issues in the preliminary stage, it will develop the scope of making the project outcome more articulate. As a consequence, cost and time management will become effective.

References

Afolabi, A. O. et al. (2018) ‘CONSTRUCTION PROFESSIONALS’PERCEPTION OF A WEB-BASED RECRUITING SYSTEM FOR SKILLED LABOUR’, Journal of Theoretical and Applied Information Technology, 96(10), pp. 2885–2899.

Al-Yahya, M., Skitmore, M., Bridge, A., Nepal, M.P. and Cattell, D., 2018. E-tendering readiness in construction: an a priori model. International Journal of Procurement Management, 11(5), pp.608-638.

Al-Yahya, M. and Panuwatwanich, K. (2018) ‘Implementing e-tendering to improve the efficiency of public construction contract in Saudi Arabia’, International Journal of Procurement Management, 11(3), pp. 267–294.

El-khalek, H. A., Aziz, R. F. and Morgan, E. S. (2019) ‘Identification of construction subcontractor prequalification evaluation criteria and their impact on project success’, Alexandria Engineering Journal, 58(1), pp. 217–223.

FANNED OBINO, K. (2017) ‘AN EVALUATION OF THE FACTORS AFFECTING PUBLIC TENDERING PROCESS IN PUBLIC INSTITUTIONS: A CASE OF PROCUREMENT DEPARTMENT IN KISII TEACHING AND REFERAL HOSPITAL (KTRH).’, pp. 1–46.

Kusumarukmi, E. I. and Adi, T. J. W. (2019) ‘Public tendering process for construction projects: problem identifications, analysis, and proposed solutions’, in MATEC Web of Conferences. EDP Sciences, pp. 1–8.

Matveeva, M. V, Doroshenko, T. G. and Sukhanova, I. A. (2019) ‘On the issue of cost and timing of contract tenders for industrial and civil construction’, in IOP Conference Series: Materials Science and Engineering. IOP Publishing, pp. 1–6.

MURAYA SHARON, D. (2018) ‘ROLE OF PROCUREMENT IN EXECUTION OF E-TENDERING PROCESS IN THE CONSTRUCTION SECTOR IN KENYA: A CASE STUDY OF MANTRAC KENYA’. MUA, pp. 1–66.

Nederhand, J. and Klijn, E. H. (2019) ‘Stakeholder involvement in public–private partnerships: Its influence on the innovative character of projects and on project performance’, Administration & Society, 51(8), pp. 1200–1226.

Obbayi, P. A. (2019) ‘Factors Influencing Tendering Process in the Implementation of Road Construction Projects: a Case of Mau-narok–kisiriri Road Project Kenya National Highway Authority, Narok County, Kenya’. University of Nairobi, pp. 1–75.

RadujkoviÄ‡, M. and Sjekavica, M. (2017) ‘Project management success factors’, Procedia engineering, 196, pp. 607–615. doi: 10.1016/j.proeng.2017.08.048.

Zhan, W. and Pan, W. (2020) ‘Formulating systemic construction productivity enhancement strategies’, Journal of Construction Engineering and Management, 146(8), pp. 1–44.

Zhang, B., Le, Y., Xia, B. and Skitmore, M., 2017. Causes of business-to-government corruption in the tendering process in China. Journal of management in engineering, 33(2), p.05016022.

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