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Issues With Densol Tender: 1. Missing Scope

The document discusses issues with a tender from Densol including missing scope of work, incorrect quantities listed, high rates charged for some items, and low rates charged for other items which could indicate pricing errors. It recommends carefully reviewing inclusions, exclusions, scope of work, and quantities when comparing subcontractor tenders to avoid inaccurate decision making based on tenders that appear cheaper due to missing information or errors. Robemen is identified as the best selection after considering these factors as their tender has reasonable rates and accurate quantities priced.

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Deedar
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104 views

Issues With Densol Tender: 1. Missing Scope

The document discusses issues with a tender from Densol including missing scope of work, incorrect quantities listed, high rates charged for some items, and low rates charged for other items which could indicate pricing errors. It recommends carefully reviewing inclusions, exclusions, scope of work, and quantities when comparing subcontractor tenders to avoid inaccurate decision making based on tenders that appear cheaper due to missing information or errors. Robemen is identified as the best selection after considering these factors as their tender has reasonable rates and accurate quantities priced.

Uploaded by

Deedar
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Issues with Densol Tender

1. Missing scope

  5.6 Cast In-Situ Concrete Traffic Barrier m3 97   $0.00


including Scabbling, Form and Finish
Concrete
7 Install Bondek 1.0 BMTon Footway m2 658

5.1.2 Deck slab - Allow Bracket & Walkway M 660 $ $330,000.00


along both sides of bridge
500.00

2. Incorrect quantities
2.4.1 Pier Headstocks - P3 to P9 - Wet m3 435 (123   $0.00
incorrect)
5.2.2 Blow out before pouring concrete - m2 1,200   $0.00
Deck Slab (2,200
incorrect)

3. High Rate
3.1 Abutment Headstocks t 21.8 $ 1,557.38 $0.00
(4356.76 high
rate)

5.5 Stitch Pour for Concrete Barrier including m3 35


Scabbling, Form & Finishing Concrete $ 1,989.21
(454.78 – Low
rate)
4. Low Rate
Subcontractor Recommendation
There are several things we need to consider and be cautious of
when reviewing tenders. These include:
- Missing scope- some subcontractor tenders will have missing scope of works in their
tenders and can give an illusion of cheaper price.
- High rate – some subcontractors will provide a higher rate than others to earn more
profit. Rates need to be compared with other subcontractors to consider the best
average rate
- Low rate – if a rate provided by a subcontractor is incredibly low then there is an
issue, we need to be aware of. When a subcontractor provides a low rate it generally
is because they have priced an incorrect quantity. It can also be that they are
supplying lower or out of specification materials.
- Inclusions – inclusions need to be carefully examined so we can compare the
subcontractor rates accurately. Subcontractors may include different items in the
scope of works to the original price.
- Exclusions – exclusions must be noted as these will need to be added in the
subcontractor total sum. The total price of the subcontractor may seem cheaper
than others initially which can mislead to inaccurate decision making.
- Incorrect quantities- if a subcontractor has priced an incorrect quantity of the scope
of works then this may lead to either a higher or lower total price. Subcontractor
tender quantities should reflect the original procurement quantities provided by the
contractor.

After considering inclusions, exclusions, scope of works, quantities and other relevant
factors, Robemen represents the best selection out of the other subcontractors.
Robeman are not charging for the following items in their tender
- Blow out before pouring concrete - Deck Slab
- Finish & Cure Deck Slab

They are excluding the following item

- Deck slab - Allow Bracket & Walkway along both sides of bridge

The total cost for Robemen’s tender comes down to $3,473,950.29 and if we add the
exclusion at an average price of $398,654.98 the total will be $3,872,605.27. This comes
down to be the cheapest price. Robemen have not missed out on any scope of works and
they have priced the original procurement quantities with reasonable rates. Lamlian have
overpriced a fair amount of the scope and so has Cordem, both of their totals can be seen in
the subcontractor comparison spreadsheet. Densol have the above listed issues with their
tender, therefore it does not represent best selection.
You can review the completed comparison sheet provided to
further examine each subcontractor tender.

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