Tendering Process Research Articles

Risk Mitigation Analysis in the Procurement Process of Construction Goods and Services In SIGI District

In every procurement activity, there will be an opportunity for a risk to arise, including activities in the process of procuring goods and services at the Department of Public Works (PU) for Highways and the Regional Secretary (Sekda) of Sigi Regency. To prevent risks, the HOR (House of Risk) method is used which can identify dominant risk sources and prioritize appropriate mitigation strategies to anticipate existing risks. The purpose of this research is to know the risks and analyze the risks that can cause obstacles, as well as to find out the necessary risk mitigation measures for risk events that occur in the process of procuring construction goods and services in Sigi Regency. The results showed that of the 22 identified risk causes for the procurement of construction goods/services, 14 priority risk causes were obtained with the largest Aggregate Risk Priority (ARP) value, namely, the documents required for the completeness of the tender process were incomplete and sudden and the existing personnel did not comply with the requirements. Of the 14 priority risk causes with the largest ARP value, obtained through the Pareto Diagram 6 handling strategies recommended to the Regional Secretary in the field of procurement of construction goods and services. And from the calculation results of the House of Risk 2 method, 2 risk management strategies with the highest Effectiveness to Difficulty (ETD) values are obtained, which will be used in handling 14 priority risk agents.

Effect of Knowledge of Tender Process on Access to Government Procurement Opportunities by Women, Youths and People Living with Disability in Ol-Kalou Sub-County, Kenya

Effect of Knowledge of Tender Process on Access to Government Procurement Opportunities by Women, Youths and People Living with Disability in Ol-Kalou Sub-County, Kenya

Proteomics in bovine semitendinosus muscle to assess emerging strategies based on papain injection and ultrasounds on meat tenderization process

The impact of papain and/or ultrasound treatments on tenderization of semitendinosus muscle through a proteomic approach was studied. Sixteen bovine muscles were submitted to the following treatments: aging at 3 °C (Control), papain injection (PI), ultrasound (US), PI followed by US (PIUS) and US followed by PI (USPI). pH, myofibrillar fragmentation indices (MFI), soluble collagen, texture profile and changes of myofibrillar proteins were investigated after 2, 24, 48 and 96 h of storage. The highest MFI and soluble collagen content were found in PI, PIUS and USPI samples while control samples showed the lowest values. PI samples showed the lowest WBSF and hardness values until 48 h of storage while at 96 h meat from USPI treatment showed WBSF value comparable to PI treatment. The lowest values of cohesiveness, gumminess and chewiness were found in PI samples during all storage times.Proteomic analysis revealed a different quantity and expression of proteins among tenderization treatments. US treatment did not exhibit a significant ability to degrade muscle proteins, while, all treatments containing papain, showed a greater ability to hydrolyse and degrade myofibrillar proteins. PI promoted intense proteolysis leading to an early tenderization process; on the contrary, in PIUS and USPI treatments the sequence of treatments was relevant on meat tenderization. Particularly, USPI treatment, after 96 h, reached the same improvement in tenderness of enzymatic treatment but with slower hydrolysing rate; this could be determinant to preserve textural structure.

Technological Aspects of Tendering in Rail Passenger Transport in Slovakia

The market for rail services in EU countries has long been inaccessible to the private sector. Transport services were provided by national operators, which led to the prevention of participation in fair and non-discriminatory competition in the provision of rail transport services. It is necessary to analyse the overall development in the operation of rail passenger transport, including the entry of private operators into the rail infrastructure. Based on the knowledge of the current situation, it is necessary to take measures to achieve compliance with the requirements of Regulation (EC) No 1370/2007. The paper characterizes the current state and the process of organizing public tenders in the Slovak Republic based on a case study and their process and proposes the gradual steps of the public tender in the form of a schedule. An important point of the whole process of the organization of the public tender is the correct setting of competencies, determination of the subject of the public tender and to propose a uniform methodology of the public tender, which may, however, vary in individual states due to the conditions of national legislation. Part of the unified methodology is the determination of the phases of the public tender process, which are part of the schedule of the public tender. The schedule of the public tender shows the entire cycle, resp. the duration of each phase of the tender for each proposed group of measures taken.

Evaluation of the Infrastructure Project Management System of Government Organizations and Suggestions for Their Improvement

The success of infrastructure projects of government organizations depends primarily on government policies, which include the rules, regulations, manuals, standard contract documents, systems, and practices that govern mutual relations between the government and private contractors to a large extent. This study aimed to critically examine this part of the project management system of government organizations and to suggest measures for its improvement. The systems of three government organizations were studied in detail by examining their documents and interviewing their senior officers. Their salient features were compared and best practices grouped to frame propositions and determine the opinion of experts regarding their implementation. Consensus on the suggested propositions was measured using a questionnaire survey and a Delphi analysis, and out of 11 propositions, consensus was found on nine; therefore, these nine propositions were suggested for adoption by the three organizations to bring about system improvements. Said improvements were expected to be the authentication of the tender process, a less time-consuming and dispute-free process, enhancement of the financial liquidity of the contractor through assurance of timely payments, compensation for losses due to idling of labor and machinery, adoption of strict measures in the contract through the introduction of a debarment clause for failure to perform, and deemed termination of the contract in case of abnormal delays in preconstruction activity. The most crucial recommendation that emerged in the study was the introduction of a focus-on-delivery clause in the work manual, which would enhance bona fide decisions in favor of work while addressing various issues faced during work execution.

CROATIA AND ELECTRICITY TRADING IN CENTRAL EUROPE

This article will discuss electricity trading in Central Europe, with particular emphasis on Croatia. Croatia is a terminal and also a transit hub: a unique combination on the Central European electricity market. It will be explained how cross-border capacity auctions influence prices on the Central European electricity market, followed by a discussion about the most important factors that are significant for Croatia’s electricity trading strategy. Finally, the article will describe the current HEP electricity tendering process and make some recommendations for possible improvements in the future.

НЕЧЕТКАЯ ОЦЕНКА ПЕРСПЕКТИВНОСТИ ЗАКАЗА ДЛЯ ИННОВАЦИОННОГО ПРЕДПРИЯТИЯ

The authors of this article propose developing a methodology for assessing the potential of an order for an innovative industrial enterprise, taking into account uncertainty at the contracting stage and using international industry profitability and turnover standards. Such a proposal is positioned in the «modified marginal profitability – asset turnover» coordinates. Depending on the niche that the order falls into, the enterprise chooses one of three negotiation strategies for the order: a) determining the volume of concessions, b) fighting for basic contract terms, or c) refusing to execute the order. Accounting for uncertainty in the order based on a fuzzy model allows the enterprise to assess the risks that, during the order's life cycle, it will be depositioned (change its niche) and ultimately prove unprofitable for the enterprise. A calculation example is included. Order risk management based on a fuzzy model enables enterprises to take preemptive measures to counter risks (shortening production times, minimizing the cost of the order, hedging import operations, etc.). If the integrated risk during the negotiation stage exceeds 20%, the order priority should be reduced and the terms of its contract should be reevaluated during the negotiation or tender process. This article focuses on the starting risk background around the order. However, a model can be proposed in which the integrated risk of the order is assessed at all stages of its life cycle, including aftersales services. These proposals are aimed at enterprises with smallscale custom production and a high proportion of hightech products in circulation. For such enterprises, order risk management is the basis for survival and maintaining acceptable levels of profitability.

Bankability challenges for the construction of micro hydro power plants utilizing state-owned dams (case study: Pandanduri dam, West Nusa Tenggara-Indonesia)

Power supply business plan (RUPTL) of PT. PLN (Persero) year 2021-2030 states that there is an electric potential of 337.1 MW that can be generated from 60 dams owned by the Government of the Republic of Indonesia through the Ministry of Public Works and Public Housing. The tender process for several locations has already been implemented. One of them is the Pandanduri micro hydro power plant which utilizes the outlet of the Pandanduri Dam, West Nusa Tenggara. The purpose of this study is to analyze the challenges of the Pandanduri microhydro project in obtaining funding from financial institutions. Assessment of aspects of bankability (character, capacity, capital, collateral, condition of economy) with regard the construction of Pandanduri microhydro shows that the role of sponsors is very significant in providing equity portion, providing guarantees and to mitigate the potential risk of cost overrun, delay in commercial operation date and cash deficiency.

Blockchain and Satisfiability Modulo Theories for Tender Systems

A tender process consists in competing offers from different candidate suppliers or contractors. The tender winner is supposed to supply or provide a service in better conditions than competitors. Tenders are developed using centralized unverified systems, which reduce transparency, fairness and trust on the process, it also reduces the ability to detect malicious attempts to manipulate the process. Systems that provide formal verification, decentralization, authentication, trust and transparency can mitigate these risks. Satisfiability Modulo Theories provides a formal analysis to prove correctness of tender offers properties, verified properties ensures system reliability. In addition, one technology that claims to provide decentralization is Blockchain, a chain of distributed and decentralized records linked in a way such that integrity is ensured. This paper presents a formal verified and decentralized proposal system, based on Satisfiability Modulo Theories and Blockchain technology, to make electronic procurement tenders more reliable, transparent and fair.

Why, did I lose? Debriefing quality and its effects on justice, protests, and sales loss attributions

When suppliers lose in a competitive tender process, they need feedback to make accurate sales loss attributions and adjustments to their competitive strategy. Unfortunately, buyers seldomly provide sufficient feedback to enable diagnostics, learning, and adaptation. The purpose of this research is to explore a buyer's debriefing as an effective feedback mechanism. Based on data from a sample of 218 U.S. government source selections, a new construct, debriefing quality, is developed as a multi-dimensional construct comprised of: proposal efficacy information, procedural compliance and decision understanding information, and competitive intelligence information. Results show that debriefing quality enhances procedural justice and internal and external attributions and reduces supplier opportunism and perceptions of buyer opportunism. Further, the underlying procedural justice of the source selection deters bid protests, and debriefing quality can impact perceptions of procedural justice. Importantly, debriefing quality is essential in the assignment of loss attributions to strategy, thus affecting strategy change. These findings expand attribution theory by identifying new external attributions particular to a business-to-business context, namely suspicion of buyer opportunism and procedural justice. The study closes with specific information buyers can provide to suppliers to mitigate bid protests and help suppliers learn from the tender enabling future strategy improvements.

Blockchain-Based Market Procurement of Reactive Power

A flexible and adaptable market procurement of reactive power has the potential to improve network efficiency, voltage stability, and operational costs. In Europe, such a dynamic procurement must be in accordance with the European Union directive EU 2019/944 on non-frequency ancillary services. In accordance with this situation, a blockchain-based framework of market procurement of reactive power is proposed and presented in this paper. The devised framework is in alignment with the European Union’s directive to establish a non-discriminatory, transparent, and free market. Moreover, the blockchain-based framework is applicable at all network levels and allows for the variety of different distributed resources to participate. A two-layer blockchain topology is proposed to overcome scalability and transaction time issues. The first main-layer blockchain acts as the agent for trust and guarantees the immutability of data as well as the remuneration of participating market players. The second-layer blockchain facilitates direct access to tendering processes or auctions, fast transactions, and low transaction fees for involved stakeholders. Additionally, a decentralized oracle network is proposed to integrate external data into the second-layer blockchain. Data required for verifying the physical reactive power transactions are delivered by smart meters. The entire procurement process is automated by deploying smart contracts at the various blockchain layers. Thus, in principle, the involved stakeholders are the system operators and market players. For the purpose of validation, the holistic market procurement process is demonstrated and analyzed in a hardware-in-the-loop environment involving reactive power procurement at the distribution network level.

Tenderpreneurship and Business Growth in Developing Countries: A Review of Literature

This paper theoretically attempts to examine tenderpreneuring in developing countries, by conducting a review of the literature on this practice. The paper endeavours to define ‘tenderpreneuring’ by examining literature, reports, opinion pieces etc on this practice which seems to be spreading rapidly in the public and private sectors in, South Africa, Botswana and Kenya. It also explores the causes of ‘tenderpreneuring’ and how ‘tenderpreneuring’. The paper further attempts to use the theory of accountability to demonstrate that where tendeperpreneuring is practiced, there are potential connotations of poor governance on the part of government or private company officers who award lucrative tenders to tenderpreneurship. The paper concludes by attempting to examine the possible ramifications of ‘tenderpreneuring’. Concisely, it concludes that tenderpreneuring has the potential to condemn the society to poverty at both personal and national level and rob them of their respect and dignity. The discussion from this paper has potential to contribute to policy decision makers on bad governance practices emanating from possibly crooked tendering processes both in the public and private sector under tenderpreneurship.

Modelling the Price Forecast for Construction Steel: A Case Study in EPC Company

The EPC (Engineering Procurement Construction) industry is one of the most dynamic industries. The problems faced are related to market conditions that often change, short construction periods, and fluctuations in material prices that are difficult to predict. This dynamic requires an appropriate forecasting model, which can predict the pattern of material price movements and anticipate the occurrence of fluctuations in the future. This research aims to get the best price during the project tender process. This study model the forecasting of construction iron prices in the future by considering the historical pattern of construction iron price data, the value of foreign exchange rates, and the price of billets as raw materials for construction iron. The forecasting procedure used is nonparametric, which involves several statistical tests such as cross-correlation, linearity, and error assessment. The results of this study can be a firm reference for the price value of construction iron, which makes it easier for management to determine an accurate and competitive project value.

The Impact of Turkey's Natural Gas Distribution Tender Process on the Current Deficit

The Impact of Turkey's Natural Gas Distribution Tender Process on the Current Deficit

DRY AND WET TENDERIZATION OF MEATS: BASIC FEATURES AND TECHNOLOGICAL EQUIPMENT

Subject of research. Tenderization (softening) of meat raw materials by using technological equipment with various working bodies. Purpose. Study of the technological features of raw meat tenderization under mechanical and hydro-mechanical action of tenderizers and multi-needle brine injectors, respectively. Methods. In order to carry out research, we used a systematic approach to factual materials, in particular, scientific and scientific-practical literature, legal acts, regulatory documents, etc., abstract-logical approach to generalize the results of the study and formulate conclusions. The experimental treatment of whole muscle meat raw materials was performed using a pneumatic brine injector brand Ya5-FSh1L with 50 needles. Results. Several methods of softening raw materials have been developed, among which mechanical tenderization takes not the last place. Meat cuts are mechanically tenderized and/or enhanced to add value to lower quality cuts by improving sensory attributes such as palatability and tenderness. The term “mechanically tenderized” is defined as “manipulating meat with deep penetration by processes which may be referred to as “blade tenderizing,” “jaccarding,” “pinning,” “needling,” or using blades, pins, needles or any mechanical device”. The tenderization process fulfilled without simultaneous injection of pickling brines is dry tenderization. The main methods for the practical implementation of the process of softening meat raw materials are piercing with knives or needles, passing through paired rollers equipped with a notch or wedge-shaped teeth, processing using plates with a notched surface. The wet tenderization is achieved when meats are penetrated by injection needles saturating muscle tissue with pickling brines. The research fulfilled showed that for tenderization of meat of increased hardness, the most effective diameter of needles is 2.5-3.5 mm. The smallest tenderizing effect is observed when raw meat is processed with needles with a diameter of 2 mm. When needles with a diameter of 2 mm are used, the nature of the mechanical action is essentially closer to the separation of muscle and connective fibers without significant incisions. However, combine effect of the mechanical action and hydro-mechanical action upon the treated meats has not yet been properly studied so the corresponding research shall be held in future. Scope of research results. The results of the experiments will be used to improve the technology and specialized equipment for injection of whole muscle meat raw materials to increase the profitability of meat processing, food safety of meat products, and to enhance their quality.

Evaluation of Tender Efficiency as a Basis for Determining Methods for Procurement of Laboratory Equipment Within the Food and Drug Supervisory Agency

Currently, the procurement of goods/services has become an integral part of an organization, including government agencies. This is necessary in order to support services to the community. Various methods of procuring goods/services have been tried to be applied in order to get the best results. This study aims to explain the efficiency of using the tender method in procuring laboratory equipment at BPOM. The method used is a qualitative research method with a case study approach. Data collection was carried out through interviews, document review and observation. The results showed that there was inefficiency in the procurement of laboratory equipment using the tender method. First, the tender method for procuring laboratory equipment still requires a party other than the human resources involved in the procurement. Second, the implementation of the tender process for laboratory equipment requires a supporting budget to produce laboratory equipment suppliers. Third, the time required in the tender process often exceeds the allotted time. The recommendations from this study are strengthening data and information on the availability of business actors and using other selection methods as a new procurement strategy

Implementation of Life Cycle Assessment (LCA) in the Procurement Process of Buildings: A Systematic Literature Review

The construction industry adds a high share to global CO2 emissions and, thus, to the global climate crisis. Future buildings need to be planned, constructed, operated, and deconstructed in a lifecycle-oriented manner so that the building stock represents a capital asset for future generations. The greatest leverages for reducing a building’s CO2 emissions lie in the early project phase and subsequently in the tendering and awarding process, which makes early Life Cycle Assessment (LCA) indispensable. In this study, we set a sociological research framework consisting of (i) choosing a research topic, (ii) conducting a literature review, (iii) measuring variables and gathering data, (iv) analyzing data, and (v) drawing a conclusion. Since there are countless studies that apply LCA in the construction sector for environmental assessment, emission reduction, or decision support, we posed the question of whether LCA was also applied in the public building tendering and awarding process. Furthermore, we focused on identifying obstacles to LCA implementation in this early project phase. Therefore, we applied the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) guidelines and conducted a Systematic Literature Review (SLR). The results show that numerous articles focused on sustainable tendering or green public procurement in the construction industry; however, the LCA method is scarcely used in the procurement processes (19 articles in the final sample). Based on our findings, the main obstacles to LCA implementation in the procurement process are highlighted in the study. In the future, the mandatory integration of LCA into the procurement process will be crucial to reduce the CO2 emissions generated by the construction industry and thus contribute to the EU climate target plan to ensure carbon neutrality by 2050.

Scrutinizing the Adoption of Integrated Project Delivery in the Kingdom of Saudi Arabia Construction Sector

The Integrated Project Delivery (IPD) approach has been acquiring applause worldwide attributable to its certified and attested outcomes in efficiently sharing threats and costs confronting the construction project. Regardless of its popularity and rationality, no substantial studies have been conducted into the Kingdom of Saudi Arabia’s (KSA) construction. Hence, the novelty of this paper is probing the Saudi Arabia government tender process and procurement regulation for IPD theme deployment, reliant on a thorough literature assessment to bestow construction parties with the barriers of incorporating the IPD paradigm in KSA. The research objectives are attained via a questionnaire survey steered toward (1) pondering respondents’ cognizance of IPD eventuality and deployment in the KSA’s construction sector, (2) stipulating the survey’s participants’ preparedness for IPD implementation in KSA’s construction market, (3) specifying the project phase in which the contractor should be entangled as part of the IPD method, and (4) scrutinizing the respondents’ knowledge to classify the anticipated barriers to IPD from the global market in KSA. Findings unearth that the KSA construction sector still entails being more conscientious and adequate, pointing out the difficulties triggered by a dearth of awareness, apprehension, and pragmatic implementation. Further, respondents showed impartiality towards construction project stakeholders’ prescience and exuberance, the existing government procurement and tendering laws, and revolutionary technological infrastructure and competency for IPD implementations in the KSA construction industry. Additionally, the contractor should be implicated and embroiled in the construction project from the early design phase. Addedly, the hurdles to deploying IPD in KSA are ranked as follows: technological, knowledge, financial, legal, and cultural barriers.

The institutional effects of public–private partnerships on competition: unsolicited proposal projects

PurposeIn many countries that allow unsolicited proposals (USPs) for public–private partnership (PPP) projects, incentives are awarded to the initial proponent of the USP projects during the tendering process as rewards for initially making a proposal. Because of such a reward system, including the bonus system, USPs are commonly known to involve fewer tender participants. This paper aims to investigate the empirical relationship between the number of tender participants and the institutional factors of PPPs. Specifically, two institutional factors are examined: the use of USPs and the bonus system for initial USP proponents.Design/methodology/approachThe ordinary least squares (OLS) and Poisson regression analysis is used in this study to analyze PPP data in South Korea.FindingsThis paper demonstrated that USP projects have fewer bidders participating in tenders than solicited projects. Meanwhile, the analysis showed that the bonus system as another component of the institutional framework did not account for the number of bidders in tendering. In the analysis by three different facility types (“Roads,” “Environmental facilities” and “Other” types) of whether the bonus system discouraged participation in the bidding, the authors found heterogeneous responses among the types. For “Roads” and “Other” types of projects, the existence of the bonus system reduced the number of bidders for USP projects, while for “Environmental facilities,” there was no negative relationship between bonus points and the number of bidders. In the analysis of whether there were fewer bidders when no bonus points were awarded, there was no statistically significant difference in the number of bidders for “Roads” and “Environmental facilities.”Social implicationsThis study shows the possibility that other institutional factors apart from bonus points affect competition. The characteristic factors of USPs can affect the decision to participate in the tender from the perspective of potential bidders.Originality/valueRecent studies on USPs have mainly focused on the strategies that ensure the effective management of USPs for PPP implementation. However, quantitative effects of USPs on the tendering process have not yet been addressed. The quantitative effect refers to something that may be estimated by quantity or that relates to the describing or measuring of quantity, such as the present attempt to account for the number of bidders.

Sales and operations planning for delivery date setting in engineer-to-order manufacturing: a research synthesis and framework

Sales and operations planning (S&OP) has emerged as a planning approach that integrates tactical level decisions across functions and supply chains while aligning day-to-day operations with long-term strategy through these decisions. The extant knowledge on S&OP has evolved primarily based on the needs of mass production contexts, and applications of S&OP in engineer-to-order (ETO) contexts have not been explored by previous research. Arguing that the cross-functionally coordinated planning enabled by S&OP can improve the effectiveness of the challenging and competitively critical tendering process, this paper develops an S&OP framework for the tactical planning process design to support delivery date setting in ETO contexts. The paper adopts a systematic literature review approach for identifying the main tactical planning activities managers in ETO companies should consider while designing the S&OP process and the information inputs required for performing and coordinating these planning activities. The identified planning activities and planning inputs are synthesised to develop the proposed S&OP framework for delivery date setting in ETO contexts. The proposed framework can support managers in assessing which tactical planning activities are strategically essential in their respective companies and redesigning or reconfiguring existing planning processes to address the planning needs of their environment.