Abstract
The "A+B" bid method is determined by the lowest combined bid. Contractors must greatly shorten construction time to be able to win bidding competitions. However, the risk under the shortened duration of construction increased rapidly. For this reason, it is important to propose a bidding strategy to acquire the best composition of construction cost and time. This research targeted contractors with a questionnaire regarding A+B bidding in Taiwan by applied “Utility Function Theory” to construct a decision model of the best construction cost and time. It was found that the optimal profit regressed from the modified utility function differs from contractors’ preliminary bids. In the situation that the difference in basic profits is not large, contractors can set up a decision maker’s utility function based on their ability to take a risk and simulate the major competitors based on experience to judge the potential success and risk from shortening the construction time.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callMore From: IOP Conference Series: Materials Science and Engineering
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
