Architecture / June 26, 2018 /
The contractor is selected on the basis of competitive tendering on most building contracts. The price which the contractor quotes for the job is heavily influenced by both the amount and intensity of the competition expected. In an open tendering arrangement the level of the competition is at its most intense and contractors must submit highly competitive bids to have any chance of winning the contract. This usually secures a rock bottom price. With selective tendering a limited number of competent contractors are invited to tender for the job, this limited competition arrangement results in a keen price being obtained. In the case of a negotiated tender there is no explicit competition and the parties seek to agree a fair price for the work, implicit competition exists, however, as the employer can break off negotiations. If there is no competition the contractor can, in fact, name his price. The tendering arrangement is, therefore, one of the most cost significant decisions a client will make in the course of a building contract.
The quality of the building will express the clients ambitions for a prestigious development. This may range from a top quality building with minimal maintenance requirements where all matters relating to the design are controlled by the design team to developments such as retail or industrial process where the detailed design is not critical and can be undertaken by the contractor. It may be essential to use high quality materials in conservation projects or where planning conditions have been imposed. High standards of craftsmanship will also be required on alterations and extensions to listed or historic buildings.