Investigating The Procurement Methods And Give An Advice For Select A Precise Method

In “Lectures 4-9” we talked about the importance of collecting customer needs and defining the scope of the project before starting the design phase.

Our Contractors has engaged in EPC services of an off shore oil production facility in the US Gulf of Mexico and wanted to grow the company rapidly. Off shore structures are constructed worldwide for a variety of functions and in a variety of water depths and environmental conditions. In this paper an overview of two of the best practices from CII industry is presented. The main objective of the paper is to implement the two best practices which would have a great impact for the rise of the company.

The purpose of this report is to analyze and research two types of manufacturing processes are used by Loganville Window Treatments, one of is production line and the other is job shop. Longanville Window Treatments produce interior shutters in Georgia and then sell products to decorating centers for nearly 50 years. LWT’s

Choosing the most suitable procurement method for the specified construction project is a long term hard decision; it is a

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When choosing a type of procurement it is based on the clients experienced and knowledge of construction that the client has and there requirements. Once this has been decided then the relevant contracts can be drawn up outlining the relevant responsibilities shared and risk taken into consideration and also meeting the correct legislation and the Housing Grants, Construction and Regeneration Act 1996. With regards to the Housing Grants, Construction and Regeneration

terms of time can be managed in this scenario, as there is no specific delivery

Sealed bidding is a procurement method used when the best value is expected to result from the selection of the lowest evaluated offer. Generally competitive sealed bidding are used to procure supplies and services except when price is not the determinative element in the

It is quite challenging to discuss about procurement management without stating the importance of its strategies. There are four main basic procurement strategies that serve different functions within a procurement management. To begin with, a “Partnership” strategy focuses mainly on constructing mutual commitment in long term relationship with suppliers. While a “Secure Supply” strategy aims to secure short and long term supply while reducing risk from suppliers. In addition, a “Category Management and E-Procurement solutions” serves as a tool to reduce logistic complexity, improve operational efficiency, and attempts to reduce the number of suppliers. Lastly, a “Competive Bidding” strategy emphasizes on obtaining the “Best Deal” for short term transactions with suppliers.(van weele) Each of these four strategies involves a unique purchasing methodology, which implies that the complexity is embedded in an individual strategic implication. Therefore, it requires different tools to accomplish the specific strategical characteristics. A business entity may need to support and execute procurement decisions with other strategic apparatus with analytical methods, including market analysis, uncertainty analysis, price forecasting, supplier relationship and along with others.(Harvard)

To select a suitable procurement strategy for a construction project, there are some issues which need to consider. From all of those issues, there are 3 big issues that mainly affect the selection decision which are time, cost and quality. There is several type of procurement strategy available in market that commonly used for construction project and each of the common method will be analyze and compare to find the most appropriate method for this project. The choice of procurement strategy is very important to the success of a construction project. Therefore, the characteristic of each strategy have to analyze and also its relative advantages and disadvantages. A recommendation of most appropriate procurement

Client and the contractor have same priorities. Basically, contractor will make the decision in turnkey approach and client will just accept in silent. In this project, the contractor and the client have the same focus and priorities therefore the relationship between the contractor and client is good and there is no overruns or communication problems between both sides.

Attaining the quality of construction and workmanship essential to understand project’s design concept and to meet the client’s objectives.

The traditional lump sum procurement or sometimes also referred to as conventional procurement is an approach that became standard practice in the construction industry in the 19th century following the emergence of the general contracting firm and independent client consultants.

All projects involve the need to determine whether the project work will be done in-house, external to the organization (outsourced), or a combination of the two. This is called “make-or-buy analysis” and is an essential part of project planning, as well as a tool/technique integral to procurement planning

The design must be able to be constructed easily because there are few skilled workers especially in rural area. Also, the design should be constructed locally as this can give the local community a better understanding of the design and may help them understand the maintenance work. The maintenance work should also be understandable to the locals as acquiring skilled workers from urban regions or overseas will be an extra cost to the local community.Maintenance procedure should be as simple as possible and is able to be carried out by the local community. In addition, the local community would like to have access to the spare parts or its substitute of the design locally. If there is no substitute to the spare part or the spare part itself available in the local community,