The Importance of Timely Bid Results
We in the construction industry are all familiar with the pressures of the open tender process, whether we are owners, consultants, contractors or suppliers. The open tender phase leading up to bid close moves fast. Bids are often altered right up to the last minute, where small dollar adjustments can be the difference between a job won or lost.
Contrast this with a perception of relative calm following tender close – where owners review submissions and bidders wait patiently to learn if they’re low. For many owners, the 2pm close represents the end of a period of chaos, and a time where they can take a breath to review bids and make decisions. However, for many companies, tender close represents the beginning of their efforts to secure work and is crucial to their success. It is with this understanding that we work to inform owners on the importance of sharing unofficial bid results in a timely fashion.
Why timely Bid Results?
Contractors utilize unofficial bid results to make important decisions every day, and often within hours of a bid closing. If low, a contractor may not bid on an upcoming project. If high, they may choose to submit a more aggressive bid. Managing their capacity, and measuring their ability to complete a future job comes into play. In a worst-case scenario, the contractor estimates incorrectly and has no work. Equally challenging, they may have too much work and not have the capacity or time to execute as expected. This contributes to problems throughout the project chain. With this challenge in mind, COOLNet staff strive to receive bid results as early as fifteen to thirty minutes after closing, and awards as soon as a decision has been made.
This lofty goal could not be achieved without strong collaboration with our industry partners, but we are pleased to report that there are already several public owners meeting these goals every day. We at COOLNet Alberta would like to take this opportunity to affirm owner organizations in the province who are performing at the highest levels of effectiveness when it comes to distributing tender information. Thank you to Defence Construction Canada for leading this charge among provincial public owners. Below is a quote from a senior leader at DCC:
Defence Construction Canada
“Defence Construction Canada (DCC) takes pride in being an active player in Canada’s construction industry. Over 95% of our construction contracts are competitively tendered. We follow stringent procurement approaches that adhere to the Federal Government contracting principles of access, opportunity, fairness, and open competition. We take pride in upholding our principles, maintaining transparency in our procurement processes, and fostering a positive working relationship with industry. To that end, DCC makes the efficient posting of bid results and awards a high priority.”
-Sabrina Rock. Defence Construction Canada.
We thank Defence Construction Canada, and other provincial leaders for their contribution to an efficient post tender process, and we look forward to supporting all public owners in the adoption of this best practice.
COOLNet Alberta & our 50,000 users.