Abstract
Decision-making and subjective evaluation are two important aspects that characterizes the involvement of an organization in tender process. Moreover, selection of the right project to bid for is a principal feature of business success. The study aims to investigate the behavioral differences of Saudi construction contractors toward internal and external factors based on the process of modelling the bidding decisions. A quantitative research design is used to investigate the behavioral differences of 97 contractors recruited from construction industry of Saudi Arabia. A questionnaire was distributed among the respondents that would help in identifying the significant level of factors affecting the bid or no bid decision. The impact of internal and external factors on the bidding decisions was evaluated using one-way ANOVA analysis. The results have shown a significant and positive effect of internal and external factors on the bid or no bid decision; including job start time, work capital requirement, availability of qualified human resources, bidding methods, bidding document price, project supervision procedure and etc. The study has helped in establishing a better understanding toward the behavioral differences of contractors with respect to the bidding decisions.
Highlights
The customer tender enquiries need to be responded and handled carefully as it significantly affects the credibility and reliability of the organization
The study aims to focus on the behavioral differences of Saudi Construction Contractors towards internal and external factors that affect the bid or no bid decisions
The study has investigated the behavioral differences of Saudi construction contractors toward internal and external factors on the process of modelling the bidding decisions
Summary
The customer tender enquiries need to be responded and handled carefully as it significantly affects the credibility and reliability of the organization. Majority of the organizations favor effective tender enquiry management. It is because of receiving customer tender enquiries that are directly proportional to bidding time. The company tends to bid more enquiries in time, when the company receives more customer tender enquiries [1]. Related to the factors affecting the company decisions, the decision of bid or no bid needs an understanding of company’s assessment. The study aims to focus on the behavioral differences of Saudi Construction Contractors towards internal (qualified employees, plants and equipment, qualified subcontractors, and material suppliers) and external factors (contract, company experience, project characteristics, and characteristics of client) that affect the bid or no bid decisions
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