In construction, tender is a document submitted by a contractor in response to the bidding invitation from the client. Tender generally have three main scope: Supply of Goods, Deliver of Service and Construct the work.
Based on Process, tender are classified into three categories:
1. Open Tender
- Applicable for supply of goods and service.
- Anyone can participate in the tender who are eligible to bid.
- Bidding document purchase might be required.
- Also known as quotation bidding, vendor/supplier/contractor shall submit their rates and first party select the lowest bidder.
- Bidding notice published in National Newspaper or Publishers.
2. Selective Tender
- Limited second party can only participate in the tendering process.
- Client sends invitation to sort listed party to participate in bidding.
- Tendering process conducted in confidencial environment.
- Bidding awarded not only from financial aspect, technical aspect also plays major role.
3. Negotiated Tender
- Negotiation with previously tied up supplier or party.
- Generally held during renewal of contract or initiation of contract.
Tender Pre Qualification Documents
Pre-qualification documents help client or tendering consultant to sort out the vendors/supplier or contractors that fulfill the minimum criteria to bid.
Here is a list of pre-qualification documents:
- Company Registration & Renewal
- Annual Turn Over (Since Last 5 Years
- Tax Clearance
- Organization Structure
- Company Work Experience Certificate
- Work Sector
- Located Geography
- Operational Process
- Current Projects
- Financial Status
- Senior Management
- Previous Penalties/Black Listed History
- Many More...
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