CE7013 Report: Estimating, Tendering, and Procurement Analysis

This report provides a comprehensive analysis of estimating, tendering, and procurement strategies for a new building project at Kingston University's Penrhyn Road Campus, focusing on a proposed building with two auditoriums and a multimedia theatre. The report outlines a strategic approach to procurement, emphasizing category and risk management, and explores alternative procurement strategies. It delves into the roles of the corporate procurement unit, procurement systems and tools, and the university's procurement vision and aims. The analysis includes a detailed examination of procurement policies, scope, and vision, along with the implementation of innovative and cost-effective practices. The report also emphasizes sustainability, supplier management, and the benefits of sharing services. It concludes with a critical assessment of the procurement process, emphasizing the importance of value for money and student experience enhancement, and the potential for innovation and cost-effectiveness in the higher education sector.

ESTIMATING, TENDERING AND PROCUREMENT
Estimating, Tendering and Procurement
Name of the student
Name of the university
Student ID
Author note
Table of Contents

ESTIMATING, TENDERING AND PROCUREMENT
Introduction......................................................................................................................................2
A strategic approach to procurement...............................................................................................4
Alternative Procurement strategy..................................................................................................12
Potential benefits of adopting alternative procurement strategies.................................................13
Advanced procurement practice....................................................................................................14
Procurement types.........................................................................................................................18
Implimentation...............................................................................................................................20
Factors influencing the procurement strategy................................................................................22
Conclusion.....................................................................................................................................25
Reference.......................................................................................................................................26
Introduction
Kingston University, an university which has a heritage of educating people and
advancing knowledge, makes a difference to the world around us. The vision frames that the

ESTIMATING, TENDERING AND PROCUREMENT
students will be examined for their academic achievements in a 360 degree manner and their
ability to give a shape of the society and contribute to the economy (Granovetter 2017).
As a consultancy practice there has been a new opportunity of a new business for a
sustained and ongoing partnership with the university since the principal of Kingston University
London is planning to establish a new building within the “Penrhyn Road Campus”.
The proposed plan will have 2 auditoriums that encompassing 200 seat each. It will be
attached with a “high specification technology and multimedia theatre” along with air
conditioning and easy tiered seating that provides outstanding visibility (Weaver 2017). The
feature of the auditorium will have a full size interactive screen and computerized performance
facilities, which is more suitable for conferences, lectures and presentations. Budget estimated
for a new building is 10 million dollar and will be finished with a stipulated time period of 2
years.
New six storey building is to be developed next to the Kingston University’s main
building. For that reason the old building needs to be demolished to get access for the new
building. It is require to analyses and find the alternative routes for the proposed project and
make a strategic approach (Pearlson, Saunders and Galletta 2019) of the procurement.
Kingston University’s new building has opend the door to all of the students, staff and the
wider community. The design of this campus may transform a memorable learning experience
for the students and stand as a entryway the university for the residents and business.
It has such features of two comprehensive (Marcelino-Sádaba González-Jaen and Pérez-
Ezcurdia 2015) auditorium with high specification technology and multimedia hall with full of
comfort provided by the excellent visibility. According to the management, the new building is a

ESTIMATING, TENDERING AND PROCUREMENT
stunning architectural achievement bear with an inspiration which break down the barriers and
encourage creativity, will share a learning experience. During the start of the project, it sets to
create a building that provides a real presence and replicates the importance of the civic role
within the Kingston group.
One of the tactical approach behind this project is to invite and welcome an
environmental friendly situation and allow more opportunities that would help to make a
collaboration between the various university, local residents and businesses. It will play as an
strategic front door and gateway which helps to make a society engagement who come and be a
part of such wonderful experience.
To make a sustainability and community access (Fuchs 2017), this project is taken a
leading sustainability assessment method for master planning the job. Its design supports and
enhance the student’s experience. It allows an organic programme to create informal learning,
research and performance to take place under one roof.
Addressing the strategic approach to the procurement, we need to promote efficient,
effective and sustainable procurement that helps to work with the customers and suppliers to
ensure that maximize the value for money on all expenditure which includes goods, services and
works. It is require to add value opportunities by the procurements especially for those who will
add value to the experience gained by our students.
A strategic approach to procurement
This research paper demonstrate a procurement roadmap for the university to support
with the university’s vision, mission and core value statements. Procurement, it is another way
we may called an enabler and strategic asset for achieving the distinctiveness, innovation,

ESTIMATING, TENDERING AND PROCUREMENT
efficiencies and the effectiveness. Make a provision of the goods and service through a strategic
collaborations and partnerships with the key suppliers.
One of the key strategic procurement (Patrucco 2017) is the relationship of the suppliers
and their supply chains, sustainability, student employability and placement opportunity.
Sustainability, added value, student employability and placement opportunities are also achieved
through the relationship with key suppliers and their supply chains (Rajesh and Ravi 2015).
Corporate procurement unit
The corporate procurement unit divided into four fully qualified procurement
professionals. A procurement data analyst and an office of procurement providing services
across the university. The team procured all the ongoing contracts by the category management
approach and builds contract management requirements. This corporate procurement will
involve to assure compliance of the procurement policy. It will carry a due diligence on the new
and existing suppliers. It leads a high value tenders and maintain a centrally procured contracts
database (kingston.ac.uk 2020).
Category management and adopting value of money in its widest sense continues to be
main focus for the team. The head of the procurement will lead the team for the strategic
development (Chupina 2016) of the function and delivery of the objectives set out in this
document.
Procurement system and tools

ESTIMATING, TENDERING AND PROCUREMENT
To develop “procure to pay” tasks are automated across the universities through an online
self and service system. The university also incorporates “In-Tend e-tendering system which is
used for all procurements having a threshold of above 50K.
Policy of Procurement
The procurement policy and guides for the respective universities will support documents
which will have some link to
 Financial regulations and policies (Barrett 2016).
 Procurement directives and the related public contracts regulations.
Scope of the procurement activity
Kingston University has an operating expenses 72 million dollar approximately per
annuam on the external provision of goods, services and works, 76% of the operating expenses
(Enache and Srivastava 2018) can be impacted by procurement.
Operating Expenses
Financial year
Kingston University
(£)
2017/18
71,714,00
0
2016/17
77,070,00
0
Average
74,392,00
0
Impactable by
procurements 76%
Procurement vision and aims

ESTIMATING, TENDERING AND PROCUREMENT
Procurement vision
Universities alignment desired outcomes is to provide a strategic and professional
procurement service which will engage the supplier’s engagement. And by this supplier
engagement the new building will build up with the estimated budget of 10 million euro.
Procurement aims
 An approach in terms of category and risk management (Hopkin 2018)
 Advice on procurement
 Achieved added value benefits that enhance student experience
 Assist buyers and other key stakeholders
 Achieve the innovative delivery, quality and cost effective goods, service and works
 Achieving best “value for money” over the whole life of contracts (Turcotte-Tremblay
2016).
Procurement strategy
Category management
Divided into the following categories managed by a procurement category manager:
 ICT
 Estates and Facilities
 Corporate
Then above mentioned approach assures the category managers to understand the market
drivers for their respective group, aware of new developments and trends. It will effectively
manage the relationship with the key and the critical suppliers.

ESTIMATING, TENDERING AND PROCUREMENT
Reason
Category management permits the alliance and leveraging across the universities to
maximize value of combined spending power and further improve the welfares that can be
imitative from cooperative procurements.
Risk management approach
To permit the deployment of the most suitable strategy of procurement, spend is
categorized using the risk and value matrix which is shown below:
Reason

ESTIMATING, TENDERING AND PROCUREMENT
It will thoroughly advise that the corporate procurement unit maintains a procurement
risk register along with the preventive and mitigating actions, which will require to manage the
identified risk management at Kingston University and its include corporate risk (Pan, Siegel and
Wang 2017) register.
Professional procurement advice
Procurement advise is guided by the fully qualified members of CIPS, (Chartered
Institute of Procurement and Supply) and procuring advice for trained and experienced support
staff members.
Reason
To deliver qualified and procuring advice.
Enhancement of student experience
This could be a variety of forms such as job placements, internships, employement,
opportunities, specialists guest lectures use of proprietary software, training, presentations,
presence at open days and fairs and special discounts or offers for students.
Reason
This procurement process will be used to encourage suppliers for providing solutions and
add value benefits to expand the students experience and also increase their satisfaction.
Above threshold procurements
The CPU management deliver support for procurements exceeding £50k brink over the
term of the contract or, if unknown, when combined over a term of 4 years. Raised the

ESTIMATING, TENDERING AND PROCUREMENT
requisitions of Agresso that tumble within this threshold trigger. Which is an alert to the team or
are workflowed to the team for approval or rejection.
Reason
This provides an opportunity to ensure obedience with internal regulations and public
procurement regulations (Decarolis and Giorgiantonio 2015). An increasing spend report is
generated periodically to ensure checks are kept on overall spend with suppliers imminent the
threshold to ensure compliance and early involvement of the team. The CPU keeps a database for
all contracts it procures.
Innovation and cost-effectiveness
Proper market research and the correct use of supplier will achieve external resources,
innovation and cost-effectiveness.
Reason
Binding the innovation has the potential to improve the university’ uniqueness and
competitive advantage (David and David 2016) particularly in a climate of intensifying the
competition in the higher education sector.
Value for money over contract duration
To reduce the sourcing cost and the whole life cost of goods and services it will refer to
use of framework agreements and collaborative arrangements to assure the best value of money
is being achieved. Contract and supplier management through account management by the

ESTIMATING, TENDERING AND PROCUREMENT
vendors, key performance measures, service level agreements, periodic contract reviews, and
transparent issue escalation processes and appoint the university staff members as contract
manager into the requirements from the most out.
Reason
It will ensure the early spotting of failure and signs, avoids complacency and also
provides value for money will be achieved throughout the lifespan of the contract. A service
improvement plan can be developed and agreed for failing the vendors and their performance
monitored more closely.
Through the regular meetings with contracted suppliers, market knowledge, and
information about the new developments, it can be earned to assure the university which will
keep on the cutting edge.
Procurement of Sustainability
Reason
Sustainibility of this procurement which will be embeded further into business as an
usual process.
 Considering the ethical, environmental and social considerations in the procurement
initiation document for the new propositions, such as wage, waste demolition
opportunities, increased recyclability, energy efficiency and other applicable
sustainability elements.
 To incorporate the sustainability criteria as a part of the supplier evaluation process and
in the award of the contract where appropriate.

ESTIMATING, TENDERING AND PROCUREMENT
 A sustainability engagement tool moved out to all third party dealers
 A checklist is developed by the sustainability hub to integrate the sustainability
requirements
 Evidence of incremental growth required in annual Modern Slavery reports (Gold,
Trautrims and Trodd 2015)
 A close working relationship with the sustainability team and their early involvement in
the relevant procurements.
Sharing of services
Reason
This section will provide procurement services to the university (Hawkins 2015). It offers
an opportunity to leverage the combined requirements and spend. reducing the sourcing costs
and pricing can improve the contractual terms for both the organizations,
Therefore the procurement strategy guides road map where we keep aim to develop
further our services and our supplier relationship management strategy (Forkmann 2016), sets
out how we intend to work collaboratively with our suppliers.
This research paper also demonstrate and critically analyse the alternative procurement
strategy for the proposed projects. As far as the concerns of alternative procurement strategy, the
concerned consultancy firm develops some other strategy needs to follow: