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1 a) Examine SIX (6) criteria that you will use to shortlist tenderers as the Main Contractor. 3
Criteria to shortlist tenderers. 4
- b) By benchmarking to the BCA contractor registry, identify the appropriate category of the contractors, give the names of Eight (8) local contractor firms from the BCA registry that you will shortlist for the project. 5
- Discuss the purposes of preparing the following tender documents. Draft a sample for each document to demonstrate the key content to be included in the documents. 5
- a) Invitation to Tender; 6
b). Conditions of Tendering. 8
Descriptive Specifications. 11
Descriptive Specification for preparing the substrate to receive floor tiles. 11
Performance Specifications. 12
Difference between General Specification and Technical Specifications. 13
Consequences of unresolved discrepancies. 14
1 a) Examine SIX (6) criteria that you will use to shortlist tenderers as the Main Contractor
Building and Construction Authority (BCA) has put methods of determining the most effective contractors for specific projects. Tendering is the best method of attaining potential contractors’ proposals and comparing them with their requirements. However, tendering methods in Singapore differs from the nature and size of the project and the customer’s objectives. The Contractors Registration System (CRS) is in charge of registering suppliers and contractors who supply and offer construction-related products and services to the public and private sectors. BCA administers CRS only to serve the procurement requirements of the constitutional bodies and government as well as other organizations in the construction domain.
The BCA-registered contractors are categorized into different work heads, subject to the type and scope of jobs they perform. The project launched by KK Land involves the construction of two 40 storey towers with basement car parks and other facilities; thus, the Construction Workheads to go for is CW01, a general building company to fulfill the project. According to BCA, firms are only eligible to participate in construction tenders whereby a project value must correspond to the tendering limit based on their grade. This residential development has an estimated value of $220 million, thus in the tendering Grade A1 (unlimited).
Pre-qualification of tenders is used to shortlist tenders’ list to the most qualified bidders. Tenders of the proposed project are available through a pre-qualification notice advertised through the press to attract interested bidders in the application. A short description of the project, as well as the procedures for applying, are entailed in the notice whereby interested contractors fill the tender form and submit them together with supporting documents. In construction, tenders are evaluated based on price and quality features. The Price Quality Method (PQM) enables the use of quantitative scores in quality and productivity assessment, where the applicant wins the contract with both the highest quality and price score.
Criteria to shortlist tenderers.
Shortlisting criteria in tendering are essential in identifying the tenderer with the best offer in terms of monetary value. While shortlisting tenderers at the pre-qualification round, more emphasis should be on the non-price components; several factors must be put into consideration:
- Quality- Past Performance and Reputation (15%).
The past performance of the tenderers, focusing more on relevant track records/experiences on constructing high-end large scale residential projects. They must provide valid documentation of completed and current projects.
- Quality – Awards (5%)
Tenderers with Construction related awards attained by the firm from BCA, URA, HDB, and any other relevant government authority or Professional Organisation in Singapore, in particularly obtaining Green Mark Awards for residential projects.
- Quality – Financial stability (10%)
The appropriate tenderer must be stable financially. This is determined by its credit rating, financial status as well its relation with the banks. The tenderers with high credit ratings and prove to be more financially stable will score with mark. For instance, Average Net Tangible Worth (Total Assets)/Revenue/Turnover in the last three years.
- Quality- Technical ability and functional expertise (10%).
Quality is only achievable with well trained and qualified personnel. The project team looks into the tenderer’s plant and equipment, as well as their ability to use them effectively. Tenderers with modern and appropriate equipment will help them gain more marks.
- Quality – Technical Resources / Team Capabilities (5%)
Tenderers must provide an organization chart for the site management team, including the CV of their key personnel, to prove their competence and technical expertise with the minimum number of years of relevant experiences. It’s a plus point for the tenderers to share downstream project teams such as main sub-contractors of different trades and major suppliers to find out whether they are sincere with the project.
- Quality – Safety Performance (5%)
Based on the current MOM Demerit Points System, the total demerit points accumulated in the past 12 months.
(Building and Construction Authority 2017, BCA Directory 2020 & Goel 2018)
b) By benchmarking to the BCA contractor registry, identify the appropriate category of the contractors, give the names of Eight (8) local contractor firms from the BCA registry that you will shortlist for the project.
The best appropriate category of the contractors for shortlisting are;
- Dragages Singapore Pte Ltd as it has completed The World’s Tallest Residential Project composed of two 40-floor towers, a basement car park, and a lush for greenery in 2019.
- Lian Seng Infrastructure Pte. Ltd completed a $105.5M project by Changi Airport Group in 2018. The project involved the construction of taxiways and aircraft parking stands.
- Hexacon Construction Pte Ltd has been awarded a Green Mark Achievement the BIM in 2012.
- Greatlearth Corporation Pte. It is one of the oldest and most established Building and Construction Companies with over 150 years in business. It has received several awards, including the Building and Construction Authority (BCA) Green Mark Award and Workplace Safety and Health Award Recognition for Projects.
- Kok Tong Construction Pte Ltd has over 30 years of expertise in Building and Construction projects. It completed the Construction of Tampines Central Station for Downtown Line 3 and Design project awarded by the Land Transport Authority in 2017.
- Obayashi Singapore Private Limited has completed several projects in Singapore, including the construction of Funan Digitallife Mall and Gleneagles Medini Hospital Iskandar. Besides, it has received BCA BIM Awards in 2016 and The Green Gracious & Gracious Builder Award.
- Keong Hong Construction Pte Ltd completed a project worth $101M to construct Hotel Mixed Development in 2008
- Tiong Seng Contractors (Private) Ltd has completed several projects, including the construction of the Sentosa Integrated Resorts and Regis Hotel, as well as the winner of the Building and Construction Authority (BCA) Award in 2019.
(Building and Construction Authority, 2019)
2. Discuss the purposes of preparing the following tender documents. Draft a sample for each document to demonstrate the key content to be included in the documents.
The contractor submits tender documentation in construction projects in response to the tender invitation. They are prepared and should be broken down into different packages. Each package should have its design drawings and suitable specifications to be issued to potential sub-contractors by the main contractor. This enables easy pricing by the contractor and also for the client to compare with the tenderers. Some of these documents include; a form of tender, invitation to Tender, preliminaries, design drawings, and other specifications.
Invitation to tender (ITT) is published in local mediums like the newspaper, to make an offer for the supply of goods and services. In the case of a high-value project like this, the client receives a pre-qualification questionnaire in response to the tender invitation, which reduces the time used in assessing inappropriate tenders.
On the other hand, standards of issuing tenders explain the requirements of the tender. Also, they provide the contacts for tender queries, submission requirements such as program, samples, drawings, and quality.
Good tendering practices requires the tender procedures, and methodology to be followed regardless of the type of the project. Pre-qualification of contractors is always done to minimize the available contractors on the list of the most competent bidders. A pre-qualification notice is availed to the local media with a small explanation of the project for interested tenderers to apply for selection. The pre-qualification notice is, however, different from the tender notice as the bidders send their qualification prominence, but not the tender as it is in the case of tender notice.
Invitation to Tender
Project No: KK/RES/PROJ/TW/2020-009
Date: April 8, 2020
PROPOSED ERECTION OF TWO 40-STOREY RESIDENTIAL TOWERS COMPRISING SKY BRIDGES, 2 BASEMENT CARPARKS AND COMPREHENSIVE FACILITIES (SWIMMING POOLS, MULTIPURPOSE HALL, ETC) AT MKO4 ON LOTS 05150N, 05152L, 05021X AT 100 TAMAN WARNA (BUKIT TIMAH PLANNING AREA)
DEVELOPER: KK LAND Private Limited
ELIGIBILITY & FINANCIAL GRADE: CW01 Grade A1
TENDER DOCUMENTS COLLECTION: KK Land Building, at 210 New Upper Changi Road, #0-721 Bedok Central (Opp KFC), Singapore 123456, from Monday to Friday 9 am to 5 pm on April 9, 2020.
TENDER DOCUMENT FEE: $1,070.00 (inclusive of GST) deposit either in form of a cheque (payable to KK Land Private Limited) or cash must be submitted for each set of Contract Document. The deposit of the successful tenderer will be used to defray the lithography charges for the tender.
Tenderers should refer to the Conditions of Tender in the tender documents for details.
SITE SHOWROUND: KK Land Pte Ltd will conduct Non-compulsory site showground/briefing, details are as follow:
Date and time: April 16, 2020 (Wed), 930am
Meeting Point: The open car park area adjacent to Holland MRT Station Exit B.
Enquires on Briefing: Ms. Chang Siew Leng (slchang@kkland.com), DID: 6868 2288
The maximum number of representative: Two (2) personnel each tenderer.
CLOSING DATE AND TIME: June 7, 2020, at or before 12 Noon
TENDER SUBMISSION: The entire set of tender documents is to be submitted by hand undersealed and marked on the envelope to Davis Langdon KPK (Singapore) Pte Ltd at 300 Beach Rd, #23-00 The Concourse, Singapore 199555. They should be deemed to have included corrigendum and clarifications in their Tender Offer.
Any unsealed document or submission after the closing date and time will not be considered.
Any request for clarification on any aspect of the Invitation to Tender documents must be submitted to and received by Davis Langdon KPK (Singapore) Pte Ltd at least seven (7) working days before the Closing Date for submission of Tenders. KK Land may, at its discretion, disregard any such request that is not received prior to the said seven (7) working days.
KK Land reserves the right to amend any terms in or to issue additional terms to the Invitation to Tender at any time prior to the Closing Date and Time. The corrigenda/tender clarifications will be sent via email to all tenderers.
No contract shall be awarded contractors that haven been debarred by any Developer and/or Statutory Boards and/or Government Bodies from participating in the same or all types of contracts.
KK Land does not bind itself to accept the lowest or any tender and has the Right to dismiss all Tenders or to accept the tenderer that is most suitable to the owner’s interest. Refer to Annex 1 for the evaluation criteria.
Thank you
Yours faithfully
Managing Director, Materials and Procurement Department
KK Land Pte Ltd
Figure 2.1 Sample Invitation to Tender.
(Talamo & Atta 2019, Smith 2017 & Patil 2016)
b). Conditions of Tendering.
The tender stage involves the issuing or giving the tenderers the tender documents. The contractors will use the materials to calculate the tender price of the project. Since the projects use the traditional Lump Sum Contract, the conditions of the contract shall be the Common Conditions of Tender.
- Eligibility of tenderers
A company is restricted or barred from participating in Government tenders is not qualified to apply for tenders. If any information provided is proved to be untrue, the Licensor must be entitled to cancel any contract entitled to the tender, therefore, responsible for compensation and damages.
- The validity period of tender
Conditions of Tenders requires that the tender remains open for acceptance within six months from the tender’s closing date.
- Compliance with technical requirements
Whichever tender that does not comply with the conditions of the tender will be disregarded. Also, any tender that attempts to amend the Form of Tender or the terms of the tender is ignored.
- Compliance with COT – Endorsement on required tender documents
Tenderers are to fill up all details in the form of tender, Conditions of Tendering, and other documents complete with endorsement by person or person legally empowered to as and sign on behalf of the firm/company. The tender is liable to be rejected if failing to do so.
- Submission of the key tender
All the tender documents should be forwarded in a sealed envelope addressed to the right authority, as directed in the invitation letter and within the given period. The submission of the documents after the deadline leads to disqualification.
- Submission of alternated offer
Alterations, cancellations, or amendments that are initiated by the tenderer on the tender will lead to disqualification. Also, tenders with illegible prices are liable to result in disqualification. The owner reserves the right not to consider or accept any or all Alternative Offers of the tenderers.
- Withdrawal of Tender
In a case when the tenderer withdraws his tender before the expiry of ninety days from the termination date of the tender, he or she loses the tender deposit. Moreover, the tenderer will not be allowed to tender for government projects for the next five years.
- Tender expenses
The tenderer caters for all expenses he incurs outside the tender, and the successful tenderer will also meet all the stamp fees and any other legal costs of the tender.
- Currency and GST Requirements
All prices offered and payment to be made shall be in Singapore Currency. The Goods and Service Tax (GST) is not inclusive in the monthly fee paid by the tenderer. The successful tender must, therefore, pay all the GST charged for his services.
- Tender Deposit
Tender deposits must be made as per the requirements of BCA either by cheque or Banker’s Guarantees by an accepted institution. Failure to pay this deposit will lead to the disqualification of the tender.
- Evaluation of Tender
Tenderers should be advised on the evaluation criteria, weightage, and method of the tender.
(Brook 2016, Building and Construction Authority 2020)
3. You want to make sure that the specifications prepared for the project can deliver the required quality standards. Demonstrate by writing 2-4 typical clauses for the work item of “preparing the substrate to receive floor tiles” using the writing styles of Descriptive Specifications and the Performance Specifications, respectively. Compare and contrast them and justify your preference. Students can select an alternative work item of his or her own choice to illustrate the writing of specifications.
Specifications are the stated needs that must be satisfied by the contractors. The specification document describes what the client needs from the contractor to do or supply. It complements the tender documents by stating out the procedures to be followed as well as the standard and quality of workmanship. Drawings and specifications help in defining the intentions of the designer and the client as well. However, specification clauses differ depending on the client’s and project requirements but could be used in the specification document at the same time. The descriptive Specification clause provides details of the required materials and workmanship for appropriate installation. It describes the product and processes rather than defining the end product expected. Performance Specification, on the other hand, gives details of the result of a product explaining what the person must do to meet the specifications. While writing Specification Clauses, several factors must be considered for efficiency and effectiveness.
To begin with, the clause must be specified using simple words and short sentences in that a topic is described in one paragraph. Secondly, for the clause to be complete, it must contain all necessary information stating the work and materials required. Thirdly, the clause should be specific and correct in that the information in it is appropriate. Proper grammar, spelling, and punctuation must be accurate. Besides, grammar, words, punctuation, and the format used in a clause must be consistent. Lastly, the clause must be clear by avoiding homonyms as they may be interpreted differently by different people. Also, the information in other documents must not be repeated in this clause. While writing specification clauses, it is advisable to use an imperative mood whereby the verb defining the action is used as the first word in the sentence. It is easy to understand and always specific, thus most appropriate for installation specifications.
(National Gallery Singapore, 2018).
Descriptive Specifications
This clause has three sections; the General, Products, and Execution sections.
The General section refers to the national and international standards as well as design requirements.
The Products section describes various products required to complete the task as well as individual structural and performance requirements of the products
The Execution section explains how the flooring material should be prepared and how the installation will be conducted.
Preparation of Concrete/Cement Plaster Surface for internal painting works:
- Allow drying of plastering work for minimal of 21 days (in compliance with CP22).
- Contractor to ensure moisture content of the not exceeding 6% or to manufacturer’s recommendation before applying the 1st coat of paint
- To reduce roughness and improve adhesive to substrate coating, all foreign matters such as construction soot, cement splashes, etc. are to be sanded/ground by hand with sand-paper or grinding tools followed by cleaning and wiping dry.
- Fillers such as acrylic based patty or cement with additives are to be used appropriately to mend hairline cracks, joints, holes or depressions. Gypsum-based fillers are not recommended in this project.
- Any rough surface of fillers should be smoothened with sand-paper or grinding tools
6. Application of paint should only be carried out after the fillers are dried to avoid shrinkage
Performance Specifications
Preparation Works
- Vendor to provide a protective covering for Gallery floors and walls before the commencement of Painting Works.
- The filler should be used and sanded down (hand-sanded where appropriate) prior to painting to achieve a smooth finish.
- Vendor to provide air extractor to assist with the drying process and assist with off-gassing or Paint coats should be applied on dried cement plastering surfaces.
Painting Works
- The Vendor shall comply with all local fire and health requirements for the painting systems and product used in the Works. Also, he shall ensure that all paints brought to the site are free from organ mercury compounds.
This contract requires the contractor to complete the Works with a provision of Six years joint warranty for paintwork using the following paint system:
- 1 coat of sealer and 2 coats of SS345:1990 Emulsion Paint to all internal surfaces;
- One coat of sealer and two coats of flexion elastomeric or other approved equivalent waterproofing coating to all external surfaces.
BCA Greenmark Scheme
- a) Paints and coatings used shall meet the Volatile Organic Compounds (VOC) requirement of the eco-standards specified under the BCA Greenmark Scheme.
- b) Water-based paints and stains shall comply with ASTM D 3960 and test method ISO 11890-2, and shall not contain VOC above 50g per litre and Epichlorohydrin.
- c) Paints and coatings shall not be formulated or manufactured with formaldehyde, halogenated, or aromatic solvents, nor shall they contain heavy materials such as mercury, lead, cadmium, and chromium.
- d) All paints and coatings shall have a flashpoint of 61 degrees Celsius or higher.
(Building and Construction Authority 2018, Building and Construction Authority n.d., Singh and Tiong 2020, Lozier 2016)
4 a) Explain the nature of General Specifications and Technical specifications and briefly explain typical items that are placed under each category.
Difference between General Specification and Technical Specifications
- General specifications focus on the final output while technical specifications focus on the procedures, designs, and the materials needed to achieve the desired output.
- General Specification focuses on the administrative requirements while technical Specification focuses on the workmanship.
- General specifications include the definition of terminologies while technical specifications explain the use of different equipment and materials.
- While technical Specification involves methods of installation, general specifications include safety and security measures.
General Specification
General Specification addresses the administrative aspects of the project requirements. They are referred to as general specifications because they just outline the nature and class of the project. This clause has the following contents;
- List of definitions and abbreviations to explain the meaning of the commonly used phrases in the contract. This gives the contractor understanding of these terminologies and other acronyms used.
- Insurances that cover the contractor while working on the project.
- Safety and Security measures must be adhered to throughout the project.
- Employment of Workmen. Explains qualified personnel to be employed by the contractor for the project.
- Contract documents; Specifies the tender documents that should be submitted by the contractor for selection.
- Contracts and Assignments; the agreements between the contractor and the client as well as the desired result.
- Damages to properties (private or public). These are compensatory damages that may occur when undertaking the project
- Labour laws. Every employee has the Right to Know, Right to decline, unsafe work, and the Right to participate.
- Maintenance and defects. Defects in construction occur when a construction fails to meet the required standards. This clause explains how much the contractor should pay in the event of these defects.
- Remedies and powers. Defines and specifies the powers and responsibilities of the contractor.
(Mohammed et al. 2019,
Technical Specifications
These are written instructions and requirements that are used together with construction drawings for heavy civil construction projects. Therefore the two documents only complement each other and have different information. Technical Specification, thus, provides information that is not provided in construction drawing. Key provisions of Technical Specifications in construction projects are;
- Steps for material and equipment placement, as well as details of all the material needed to complete the project.
- List of materials that are not provided in the construction drawings.
- Owner’s permits and construction restrictions.
- Payment for all items of work.
- Key responsibilities, safety issues, and all reference data available.
Moreover, Construction sequence and control is also essential in technical specifications. It requires the contractors and subcontractors to report operational constraints they have experienced in related activities, previous activities, and subsequent activities. The information helps in defining the temporal and spatial organization of operations to be carried out before the start of the project. Also, it provides information on the contractual obligations the executor is required to comply with. To achieve a detailed and thorough study, there is a need to identify constructive actions articulated in the construction process by dividing them into four phases. The first two phases are transport from the storage to work area and preparation of products. The other two include the transportation of materials to the installation place and placing in work.
b ) If a discrepancy is found between the specifications and the drawings during the tendering stage, discuss how it should be resolved.
In building and construction, discrepancies often appear in the technical specifications and drawing. This is mainly caused by the issuance of partially completed data to the designers or when the owner proposes changes to cut costs. When the information provided by the technical Specification is different from the designer’s drawings, discrepancies will occur. When this happens, the provisions of the latter precede those of construction drawings. However, if the disparities remain unresolved, it may result to problems.
To resolve discrepancies:
- Tenderers have raised issuance pre-tender corrigendum after reviewing the tender queries – To rectify/amend the mistakes, issuance of corrigenda in form of documents, drawings or tender clarifications to all tenderers via emails or collection from the office
- To conduct a post-tender interview – in view of tight timeline, conducting a post-tender interview allows proper face-to-face meet up, allowing the tenderer to understand the designer’s intents and designer to hear out tenderer’s proposal to resolve the discrepancy. The designer will follow up with post-tender corrigenda to all or only the shortlisted tenderers for resubmission of the tender price.
- Application for declaration or Action for Breach of Contract. The challenger files a statement in court claiming damages for the profits it would have realized if it was awarded the contract.
Consequences of unresolved discrepancies.
- Discrepancies have adversely affected the effectiveness of the project.
- They may also cause failure and accidents that could lead to loss of lives.
- An error in one activity will lead to errors in other activities, thus affect the whole project in terms of timeline and cost.
(Duzkale & Lucko 2017, Giuseppe & Valentina 2015, Rafiq et al., 2018)
4. The private developer firm is keen to promote the project as an iconic residential development of notable green and sustainable features. Discuss how you can adopt an appropriate procurement strategy to achieve a greener and sustainable project.
The procurement process starts from the design stage, where the designers have to design and specify what they want / the products. Meaning the technical specifications must cover the requirements to include the supplements to bring the outcome.
Sustainable (Green) procurement involves the incorporation of specifications, requirements, and principles which are harmonious in protecting the environment. The organizations use their buying power to involve the market in sustainability by including the environmental aspect as a basis for their commodity choice. Including the environmental aspect of the tender document has encouraged vendors and supplies to influence others in embracing environmentally friendly activities. BCA Green Mark for Super Low Energy (GM SLE) recognizes the best classy and energy-efficient building in addition to their Green Mark ratings. It applies to both new and existing non-residential buildings. Green building is the practice of creating structures and using processes that are environmentally friendly throughout the life cycle of the building.
Discuss how you can adopt an appropriate procurement strategy to achieve a greener and sustainable project.
The Design and built contract is most appropriate for this project as it is simple and straightforward in that the contractor is accountable for both the design and completion of the work. Besides, it fastens the completion of work since the contractor handles the technical design, construction and performance. Design and Built Contract reduces the cost and time used to complete the project as it eliminates the need for a separate designer team. Moreover, there are improved interactions between the client and the contractor; thus, enables a good client- contractor relationships since the client is the sole point of responsibility. On the other hand, other strategies promote green and sustainable features.
- Cohesive plan from design to tender documentation to actual selection/operations of systems, materials & practices.
The private sector developer must embrace green and sustainable features when planning and designing the project. Also, it should be included in the tender document to ensure materials used throughout protects the environment.
- Design strategies of early planning using strategic procurement principles, such as entire life costing, overall quality, etc.
While planning, the private developer should ensure that the towers will be environmentally friendly throughout its lifecycle while minimizing costs and upholding high quality.
- Documentation strategy for inclusion of sustainable requirements in specification writing for the choice of system, material, operation processes that support Green building practices.
Supplier selection and tender evaluation should be based on sustainability, which should be included in the tender documents. Also, the systems, materials, and processes involved in the project should be selected based on their sustainability.
- Illustrate with examples, e.g., ACMV, BMS, IoT, carbon emission limits, renewable energy, workplace environment, and health, etc.
Living greener both at home and work is essential and healthy. IT has played a significant role in improving productivity, collaboration, and employees’ safety and health. LEED certification has played a vital role in reducing Carbon emission, reduce energy and water consumption as well as diverting waste from landfills. Besides, the developer should use IoT devices to reduce their carbon print and sensors to reduce energy consumption. In the workplace, heat can be recycled within the facilities. For instance, water used to cool computer servers could be recycled to provide hot water.
(Building and Construction Authority, 2017, Hwag et al., 2017 & Maddox 2018)
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