ARBE2309: Construction Procurement and Tendering

Running head: CONSTRUCTION PROCUREMENT AND TENDERING
Construction Procurement and Tendering
Name of the Student:
Name of the University:

1CONSTRUCTION PROCUREMENT AND TENDERING
Table of Contents
1.0 Introduction................................................................................................................................2
2.0 Investigate inception, development and implementation stages of procurement process.........2
3.0 Investigate the tender process and supporting documentation..................................................5
4.0 Analyze and select procurement method and standard form of contract to meet with
stakeholder requirements.................................................................................................................8
5.0 Develop risk management strategy............................................................................................9
6.0 Conclusion...............................................................................................................................11
References......................................................................................................................................13

2CONSTRUCTION PROCUREMENT AND TENDERING
1.0 Introduction
The paper is based on examining the tender process as well as how the construction
projects are procured. The selected construction project is based on extension to the Mater
Hospital in Newcastle which is used of procurement and tendering methods. The tendering
principles as well as procurement processes are investigated by analyzing different strategies in
public, as well as private sector using the case study. The procurement methods ensure that
funded goods as well as services, IT are being acquired by hospital through the procurement
processes (Brook, 2016). It provides an outline of responsibilities of hospital through each stages
of procurement process. The project work is assigned to materials management and delegate for
monitoring, scheming and giving out over purchasing of the hospital equipments and suppliers.
Time spent to prepare the project is rarely wasted and there is an impact of changes at this
particular point will impact in cost at the time of delivery.
This particular report investigates inception, development and implementation stages of
procurement process of infrastructure project such as extension of hospital. There is analysis of
tender process as well as support the documentation with analysis and selection of procurement
method and standard form of contract to meet with stakeholder requirements. A risk management
strategy is developed regarding the infrastructure project to overcome with the project risks.
2.0 Investigate inception, development and implementation stages of
procurement process
The Mater Hospital in Newcastle must be accountable for results of the procurement
decisions as well as appropriateness of the procurement processes. The hospital is transparent to

3CONSTRUCTION PROCUREMENT AND TENDERING
the stakeholders where they have equal access to the information on procurement opportunities
and processes. They must maximize value to receive from use of the public funds. The value for
money approach aims for delivering goods as well as services at most favorable lifecycle cost.
Front line services are provided by the hospital to receive of right products at right time and
place (Smith, 2017). Following are the stages which are used to investigate inception,
development and implementation stages for the procurement processes in Mater Hospital such
as:
Stage 1: Planning
This stage is included planning of the elements and parameters which are used to ready
for implementation. It defines the performance indicators which are used to monitor project
implementation processes as well as evaluate the performance of construction and infrastructure
project against the project objectives. This phase is related to preliminary procurement planning
to issuance of the bid solicitation (Hackett & Statham, 2016). The activities are included of
verification of requisition forms of goods as well as services, security requirements, reviewed the
project requirement for extension of the hospital, and chosen proper procurement instruments.
Stage 2: Creation of a tender
The tendering process under the construction is process to submit the proposal for
undertaking the government construction projects. The buyers advertised the project and invited
the contractors to apply based on list of the contractors those are invited to bid for infrastructure
project. The buyers are invited contractor to submit prices for the project. Negotiation tendering
is used in this case (Hughes, Champion, & Murdoch, 2015). The bid proposal is based on bill of