Advantages And Disadvantages Of Tendering

ADVANTAGES AND DISADVANTAGES OF THE PROCUREMENT METHODS

PROCUREMENT METHOD

ADVANTAGES

DISADVANTAGES

TRADITIONAL

Because there is competitive selection of contractor and consultants there is accountability.

There is equity in the tendering process for contractor bidding.

Price is know at the the award of the contract.

Managing change is relatively easy because the client is directly involved in the design process.

Construction cannot commence until the design phase is completed so the project duration is long.

Tender process is long because designs are incomplete and if tendered as is exposed the client to uncertainty with respect to cost and time.

There is no input during the design phase by the contractor and as a result the build ability of a design has to be altered after the construction contract has been awarded.

DESIGN AND BUILD

Client requirements are well defined and as such cost is known upfront.

Project time can be reduced because both the design and construction phase can be done simultaneously.

Constructability can be improved because the contractor can make an input during the design phase of the project.

The contractor is motivated to increase profitability through the reduction in cost and time.

The client is challenged with respect to the preparation of a comprehensive brief.

It is difficult and expensive to accommodate change in scope.

There is variation in designs and as such it is difficult to evaluate.

The client is exposed to a high level of