A needs-based methodology for classifying construction clients and selecting contractors

Abstract

Clients' needs are inadequately evaluated in project schemes. Without a precise establishment of clients' preferences, the essential criteria for project implementation and especially contractor evaluation cannot be appreciated fully. It is not surprising therefore that subjective decisions have prevailed in tender evaluations and clients' needs have not been satisfied completely. Objective contractor evaluation will be realized only when clients' needs and contractors' capabilities can be quantified and matched reliably. The methodology described herein rests on identifying clients' needs preferences as comprehensively as possible at project inception and progressing to identifying contractors who can satisfy them optimally; relying on ‘multidimensional scaling’ and ‘cluster analysis’ techniques. The investigations suggest that clients' project needs are not along the traditional classifications of private, public and developer clients; a reclassification of clients into five needs-based groups is proposed. A new contractor evaluation methodology matching client satisfaction to attainment of established needs in project schemes has been developed for bidding purposes.