The tendering phase is one of the most important stages in construction project management, as it determines the appropriate contractor and the final cost of the project, and directly affects its success or failure. To ensure the best results and reduce risks, here are some practical tips extracted for owners:
Use an international system such as FIDIC
It is preferable to use the FIDIC system, especially the Red Book, because it balances risks and responsibilities, which protects the owner’s rights and helps avoid disputes.
Ensure tender documents are detailed
Ask the consultant to prepare accurate documents that include bills of quantities and technical specifications in a clear and detailed manner. This helps contractors provide accurate quotes and reduces future disputes.
Maintain the independence of the consultant and contractor.
Avoid contracting with a consultant and contractor from the same entity to ensure there is no conflict of interest, which enhances transparency and protects your interests.
Monitor without direct intervention
Monitor the work of the consultant and contractor closely to ensure that they are performing their duties, but avoid directly interfering in the consultant’s tasks or making decisions with the contractor without consulting him. Let the consultant manage the process independently.
Document everything
Request periodic written reports from the consultant on project progress, quality of materials, and required changes. Documentation protects you from surprises such as unexpected additional costs.
Make sure the work is complete and the site is clean before paying
No financial payment shall be made to the contractor until the consultant’s report confirms the completion of the work and the cleaning of the site from waste.
Appoint a qualified consultant
The consultant is your technical arm in the project, so choose a highly qualified person or entity to prepare the tender documents, supervise the implementation, and ensure that the work conforms to the plans.
Set the terms and conditions to protect your interest
Ensure that the tender documents contain terms and conditions that protect your rights as an owner, such as dispute resolution mechanisms and penalties for delay or non-compliance.
Avoid emotional judgments when managing your project
The owner may view the project as a “dream home,” but emotional involvement without documentation may lead to exploitation by the contractor or negligence by the consultant. Make your decisions based on documented reports and information.
Understand your role well
Your role as owner is limited to financing the project, appointing the consultant and contractor, and monitoring the overall process. Leave the technical and implementation details to the consultant and contractor to ensure the work runs smoothly.
Conclusion
By following these tips, owners can reduce the risks associated with the tendering stage and ensure the success of their projects.