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1) QQ Builders Sdn Bhd submitted a tender of RM260,880.40 to construct a single unit showroom and was the third lowest bidder. 2) Reasons for unsuccessful tenders included being over budget, not including necessary safety precautions, and material costs being higher due to it being a small project during peak season. 3) Errors in the tender included using different rates for internal and external wall finishes and wrong unit conversions for material costs. Improvements for future tenders include engaging new subcontractors, investing in BIM software, and better time planning.
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Estimating
- 1. Estimating Adele Lu 0323151 Chan Yi Fung 0323057 Chloe Sim Tiing Ern 0322932 Christina Ho 0326499 Ee Hui Teng 0322548 Kam Pei Chi 0327295 Leong Li Jing 0323628 Pui Chun Shian 0323470 Ranee Leow 0328173 Soo Yon Li 0322821 QQ Builders Sdn. Bhd.
- 2. Position of Tender Tenderer Tender Amount (RM) Remarks 1 2 3 4 5 6 7 8 9 Group 6 Construction Company Group 8 LnS Sdn Bhd QQ Builders Sdn Bhd ES 4 Sdn Bhd Group 7 PH Construction San Bhd TZW Sdn Bhd Group 5 188,434.76 199,712.32 260,880.40 274,301.32 288,970.78 274,301.32 295,214.88 321,752.74 477,285.58 Successful Successful Successful Unsuccessful Unsuccessful Disqualified Disqualified Disqualified Disqualified TENDER FOR SINGLE UNIT SHOWROOM RM 274,301.32
- 3. REASONS of unsuccessful tender GST & WORKMANSHIP High Quality Inclusive of GST
- 4. LIMITATIONS Limited time to obtain quotations Limited suppliers REASONS of unsuccessful tender
- 5. REASONS of unsuccessful tender SAFETY PRECAUTIONS First Aid Kit Site Fire Prevention and Fire Fighting Helmet and Boots
- 6. REASONS of unsuccessful tender MATERIAL COST Small scale project Peak Season No bargain price
- 7. ERROR CORRECTION Material Cost RM147.71 X 0.02 = RM 2.95 /m2
- 8. ERROR CORRECTION Total Cost Total cost = Material cost + Labour cost RM2.95/m2 + RM2.73/m2 = RM 5.68 /m2 Add 5% profit RM 5.68/m2 x 0.05 = RM 0.28 /m2 Add 5% overhead RM 5.68/m2 x 0.05 = RM 0.28 /m2 TOTAL RM 6.24 /m2
- 9. ERROR DIFFERENT RATE USED INTERNAL WALL FINISHES EXTERNAL FINISHES
- 11. ERROR CORRECTION
- 12. IMPROVEMENTS Engage new sub-contractors Invest in BIM software Time planning
- 13. “ THANK YOU !
Editor's Notes
- NEXT, limitations is also one of the reason of unsuccessful tender. In order to win the job, we were required to obtain as many quotations as possible to estimate for the lowest price. In this project, we only have less than two months which is from 28th sept - 16 nov to obtain the quotations and also complete the tender document. Our team had requested from multiple suppliers for quotation. Since it’s a small scale project (single storey show house), some of the suppliers might not have interest and also the time given for tendering is shorter compare to big project. So the deadline for supplier is shorten to 5 weeks, for our team to have sufficient time to complete the tender document. In the end, only few of the suppliers able to give quotations before the given deadline . Thus, we only get quotations from limited suppliers, which cause our team to have lesser options to compare between the quotations of the respective item.
- For this element, 20mm thick c&s plastering with approved plasticiser, the final rate that we used in BQ for internal wall finishes and external finishes are different because the rate are produced by different people, and there are some error for the quotation taken and also calculation steps.
- First, the price taken for OPC is different as showed which is more expensive than the price in external finishes calculation. Second, the conversion of unit is incorrect as showed in the red circle. The plasticiser at rm3.50/8kg should be RM/m3 instead of RM/m2, the unit is incorrect in this calculation. And the conversion of unit from RM/m3 to RM/m2 should be done at the last step.
- This should be the correct calculation steps for the material cost of c&s plastering with approved plasticiser. The price taken for OPC is cheaper as shown, which is rm12.45 compare to the previous slide which is rm14.25. The unit for plasticizer is RM/m3 which is correct. The conversion of cost per m3 to cost per m2 is done at the last step. So, the material cost that should be used is rm3.32/m2