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KAAF UNIVERSITY COLLEGE
CONSTRUCTION TECH.
COURSE: Construction Commerce & Procurement (COT 355)
TOPIC: “Contract Documentation and
Tendering.”
TABLE OF CONTENT
• INTRODUCTION
• PROJECT AND CONSULTANCY
• TENDRE DOCUMENTATION
• CONTRACTOR SELECTION
• TENDER ACQUISITION AND ADVERTISEMENT
• TENDERERS/ CONTRACTORS
• TENDER EVALUATION
• CONCLUSION
INTRODUCTION
•
Tendering is the process by which bids are invited
from interested contractors to carry out specific
packages of construction work.
• It should adopt and observe the key values of
fairness, clarity, simplicity and accountability, as
well as reinforce the idea that the apportionment
of risk to the party best placed to assess and
manage it is fundamental to the success of a
project.
PROJECT AND CONSULTANCY
• Mr Acquaye Frank is a business man who
wanted to build a six storey hotel on a land he
bought in the Eastern region of Ghana
• Associate of Engineers Consult. (AEC)
consultancy firm made up of group of various
professional. (Architect, QS, etc)
Negotiations and agreement
After the consultancy had advised the client on
the project;
• Cost
• Project duration
• Designs
An agreement that would allow AEC to start it
operations to carry on with the proposed project.
TENDRE DOCUMENTATION
Here the tender document was drafted which it
identifies work at hand and its requirements this
includes:
• Bill of quantity
BOQ is a document used in tendering in the
construction industry in which materials, parts,
and labor (and their costs) are itemized
prepared by quantity surveyors and building
estimators of the consultancy.
• Specification
This is a written technical information which
spells out the quality of materials and
workmanship which would form the bases of
executing the works.
• Drawing
Non detailed printed drawing would be issued
out to contractors bidding for the contract, so as
to get the idea of what is expected of them,
• FORM OF TENDER
1. Document/letter prepared by the Client
and signed by the tenderer to indicate that they
understand the tender and accept the various
terms and conditions of the contract, other
requirements of participating in the tender
exercise.
2. Fill in their names, address and the amount of
money for a lump sum offer.
Form of tender
• Portion for sum of money in carrying out the project
without tax.
• Duration offered to complete project – 44weeks
• Tender would remain 30 days open for acceptance
• upon discovery of any obvious pricing or arithmetic
error an agreement was made such that these
errors will be corrected using various alternatives.
• Requirements and conditions of contract
1. Bid bond (10% of total project sum)
2. LAD - Contracts generally include a provision
for the contractor to pay liquidated damages
3. A defective liability period (6months)
4. Isuance of the following; Registration certificate,
• SSNIT certificate
• Labour certificate
• And Income tax clearance certificate

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Presentation1 COMERC.pptx

  • 1. KAAF UNIVERSITY COLLEGE CONSTRUCTION TECH. COURSE: Construction Commerce & Procurement (COT 355) TOPIC: “Contract Documentation and Tendering.”
  • 2. TABLE OF CONTENT • INTRODUCTION • PROJECT AND CONSULTANCY • TENDRE DOCUMENTATION • CONTRACTOR SELECTION • TENDER ACQUISITION AND ADVERTISEMENT • TENDERERS/ CONTRACTORS • TENDER EVALUATION • CONCLUSION
  • 3. INTRODUCTION • Tendering is the process by which bids are invited from interested contractors to carry out specific packages of construction work. • It should adopt and observe the key values of fairness, clarity, simplicity and accountability, as well as reinforce the idea that the apportionment of risk to the party best placed to assess and manage it is fundamental to the success of a project.
  • 4. PROJECT AND CONSULTANCY • Mr Acquaye Frank is a business man who wanted to build a six storey hotel on a land he bought in the Eastern region of Ghana • Associate of Engineers Consult. (AEC) consultancy firm made up of group of various professional. (Architect, QS, etc)
  • 5. Negotiations and agreement After the consultancy had advised the client on the project; • Cost • Project duration • Designs An agreement that would allow AEC to start it operations to carry on with the proposed project.
  • 6. TENDRE DOCUMENTATION Here the tender document was drafted which it identifies work at hand and its requirements this includes: • Bill of quantity BOQ is a document used in tendering in the construction industry in which materials, parts, and labor (and their costs) are itemized prepared by quantity surveyors and building estimators of the consultancy.
  • 7.
  • 8. • Specification This is a written technical information which spells out the quality of materials and workmanship which would form the bases of executing the works. • Drawing Non detailed printed drawing would be issued out to contractors bidding for the contract, so as to get the idea of what is expected of them,
  • 9. • FORM OF TENDER 1. Document/letter prepared by the Client and signed by the tenderer to indicate that they understand the tender and accept the various terms and conditions of the contract, other requirements of participating in the tender exercise. 2. Fill in their names, address and the amount of money for a lump sum offer.
  • 10. Form of tender • Portion for sum of money in carrying out the project without tax. • Duration offered to complete project – 44weeks • Tender would remain 30 days open for acceptance • upon discovery of any obvious pricing or arithmetic error an agreement was made such that these errors will be corrected using various alternatives.
  • 11. • Requirements and conditions of contract 1. Bid bond (10% of total project sum) 2. LAD - Contracts generally include a provision for the contractor to pay liquidated damages 3. A defective liability period (6months) 4. Isuance of the following; Registration certificate, • SSNIT certificate • Labour certificate • And Income tax clearance certificate