credits: Hatush, Zedan and Skitmore, Martin R. (1997) Criteria for contractor selection. Construction Management and Economics 15(1):pp. 19-38. Copyright 1997 Taylor & Francis. Accessed from: http://eprints.qut.edu.au/archive/00004435/

1. THE INTERVIEW
Hiring Private Contractors

2. Basic Factors to be Explained and Discussed by
the Contractor during the Interview:
• Financial Stability
• Managerial Capability
• Organizational Structure
• Technical Expertise
• Previous records of comparable construction

3. 1. Financial Stability
• Check suitability of contractor’s financial capability to meet
obligations required by the work
• Check the contractor’s net assets, earnings and several financial
ratios including debt to equity, current ratio
• Assess contractor’s ability to carry construction losses

4. 2. Managerial Capability
• Asses their project management structure, human resources and quality
management
• Asses if a contractor has a sound relationship with other contractors/sub-
contractors and employees
• Research the contractor’s background on managerial capability from past
projects
• Check contractor’s industrial relations, occupational health and safety, and
claims and dispute history

5. 3. Organizational Structure
• Assure the adequacy of contractor’s plant and equipment to do
the work properly and expeditionary
• Background check on the project/site engineers and officers
working for the contractor

6. 4. Technical Expertise
• Assess the contractor’s proposed construction methods for the
project
• Assess contractor’s technical skills based on completed projects
• Assess contractor’s commitment of labour and plant resources,
• Assess the ability to handle the type, quality, size of work, and the
ability to perform on site

7. 5. Previous Records of Comparable
Construction
• Assess the methodologies used by the contractor on
previous/past projects
• Know the fields of constructions the contractor already handled

8. Check and Grading Table for Project Execution

9. Some Types of Independent Contractor Firms
and their Managed Sectors
• Technical and Consultancy Firm– Direct works, Civil Engineering
• Architectural Firm – Building Engineering, Interior and Finishing
Works
• Quantity Surveying Firm – Project Cost Estimation
• Landscape Division – Land Features Modification
• Health and Safety Firm – Health, Safety and First Aid Services

10. End.
Thanks for listening!