The efficency of suppliers prequaification Essay Example

The efficency of suppliers prequaification Essay The public owners for instance award contracts o the lowest responsible bidder in order to fulfill the requirements of the law that protect public interest and funds, prevent fraud, collusion, and favoritism, and obtain quality construction at reasonable and fair prices. Determination of the lowest bidder is easy and direct, while on the other hand determining whether the contractor is responsible or not is not as easy. Selection of contractors based on the lowest bid price has been criticized by a section of the construction industry itself. It has long been a source of frustration to those involved with competitive-bid construction projects that owners often treat low- laity construction work no differently from high-quality construction work. Both owners and contractors have acknowledged this problem. In a study carried out for SHASTA by Minch Jar. And Smith, 2001 , it was observed that contractors who were confident in their ability to produce high-quality work expressed their perceptions that public owners actually reward poor workmanship, at least indirectly. According to the contractors, they do this by not penalizing poor workmanship, thus giving a bidding edge to those contractors who take advantage of the owners reluctance to penalize them. The contractors performing high quality work are discouraged about the prospect of continuing to bid for construction work against contractors who consistently submit low bids and produce low quality products. In many cases, it was expressed that these same low bidding contractors consistently submit change orders for extras even when the claimed work was part of the original design. We will write a custom essay sample on The efficency of suppliers prequaification specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on The efficency of suppliers prequaification specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on The efficency of suppliers prequaification specifically for you FOR ONLY $16.38 $13.9/page Hire Writer No evidence was provided, however, to support these claims. Contractor prettification is one of the processes among many others that are used to ensure that the right contractor is chosen for the right Job. Briefly, contractor prettification can be defined as a decision making process by which an owner evaluates the competence of a candidate contractor to perform the requirements associated with a given project even before the final bidding process is set in motion. Contractor prettification will be described in greater detail in the subsequent chapter. One or any combination of the following may be considered for prettification: Contractors. Subcontractors. Suppliers. Products. Services, including professional services. Prettification of contractors, subcontractors, suppliers, products and services for publicly funded projects is problematic and the potential for criticism by the private sector, particularly by those parties who are not qualified, is always present. Thus making it obvious for everyone that the prettification process is not be taken lightly and also that its application is a function of a projects complexity and magnitude. Several multi criteria decision making models for contractor prettification are available for use in the industry and research field. These decision making models encompass a wide range of methodologies beginning with the simple Point Allocation PA) methodology and ending up with complex models such as models based on genetic algorithms, neural networks and stochastic probabilities. Each method has its own unique group of users. Users have based their choice of prettification models on varying factors such as user sophistication, cost of application of method, appropriateness of application of method to the particular project etc. This proliferation of prettification models is both a boon and a bane for an educated owner since it gives the owner a wide range of models to choose from while at the AMA time it creates doubt in the owners mind regarding the best possible method or model for prevailing contractors for a particular project. The models that are on the high end level of the methodology ladder are too sophisticated to be easily understood and appreciated by an average owner thus leaving the owner with no choice but to choose a model from the existing simpler ones being used in the industry. The advantage of using models implemented in industry is that they are simpler and easily understandable by everyone in the construction industry. This type of models can be labeled as Practical prettification models. Within the Practical models the level of sophistication varies from the simple to the highly complex. The issue of concern is to determine how efficient these contractor prettification models really are. Which contractor prettification model gives the best result when each prettification model is supplied with the same set of contractor information? This issue can be best addressed by a comparative analysis of prettification models. This analysis would include both quantitative as well as qualitative analysis in order to arrive at a proper conclusion regarding the efficacy of he prettification models.