1. Introduction
Bidding for engineering projects is a process in which a bidder who has obtained the bidding qualification after examination responds to the bidding on the basis of extensive market research on the premise of agreeing to the conditions put forward in the bidding documents of the employer, prepares the bidding documents according to the prescribed procedures, and obtains the engineering task by winning the bid in the form of bidding quotation. With the increasingly fierce competition in China's construction market, project contracting has gradually entered a period of low profit. Therefore, it is particularly important to make bidding decisions, correctly analyze bidding strategies and use quotation skills to realize the unity of "scientific quotation" and "rational quotation", so that the quotation can not only win the bid with a certain probability, but also obtain reasonable profits after winning the bid.
2. Formulation of bidding decision
2.1 Development background
It is inevitable for bidders to obtain projects through bidding. However, for the bidder, it is not necessary to bid for every bid, because if the bidder wants to win the bid, that is, win the bid to get the contracted project, and then profit from the contracted project, it is necessary to study the bidding decision-making problem. Whether the bidding decision is correct or not is related to winning the bid and the benefit after winning the bid, the development prospect of the construction enterprise and the economic interests of the employees, so the decision-making team of the enterprise must fully realize the significance of the bidding decision.
2.2 content meaning
the so-called bidding decision includes three aspects: first, whether to bid or not to vote for the project bidding; Second, if you bid, what kind of bid is it; Third, how to use the strategy and skills of making the best use of the long and making the best use of the poor in bidding.
2.3 stage division
2.3.1 the early stage of bidding decision
this stage must be completed when purchasing the pre-qualification information of bidders, and the main basis of decision-making is the tender announcement, the company's investigation and understanding of the owner of the bidding project. Whether to bid or not must be demonstrated in the early stage.
2.3.2 Late stage of bidding decision
If you decide to bid, you will enter the late stage of bidding decision. It refers to the decision-making research stage from applying for pre-qualification to bidding quotation (that is, before delivering the tender), which mainly studies the nature of the bid (such as risk bid, insurance bid, profit bid or capital preservation bid) and the strategies and skills adopted in bidding. It should be emphasized that the principles of openness, fairness, impartiality, honesty and credibility should be kept in mind when considering and making decisions.
2.4 influencing factors
As the saying goes, "Know yourself and know yourself, and you will win every battle". Specifically speaking, this "self" is the subjective factor that affects the bidding decision, that is, the strength of the tendering unit itself, while "self" is the objective factor that affects the bidding decision.
2.4.1 subjective factors
(1) the technical strength of the tendering unit
mainly refers to whether there are engineers, accountants and management experts who are proficient in the industry, whether they have the ability to solve various technical problems in engineering construction, whether they have the construction experience of the same type of project as the bidding project, and whether they have partners with certain technical strength, such as strong subcontractors.
(2) The economic strength of the bidder
Whether it has the ability to advance funds, whether it has certain fixed assets, machinery and equipment, whether it has the ability to pay all kinds of guarantees, whether it has the ability to pay all kinds of taxes and insurance, whether it can bear the risks caused by force majeure, and so on.
(3) The strength of management and reputation of the tendering unit
means that the contractor must be able to strictly control the cost and demand benefits from management; At the same time, abide by laws and administrative regulations, act according to market practices, and establish a good reputation.
2.4.2 objective factors
(1) information of the owner and supervision engineer
grasp the legal status, payment ability and performance ability of the owner, and the fairness and rationality of the supervision engineer in handling problems.
(2) Analysis of competitors and competitive situation
Whether to bid or not, we must consider the ability and advantages of competitors and the advantages and disadvantages of the bidding environment. In addition, the situation of competitors' projects under construction is also very important, which has a great influence on the overall tender offer.
(3) Laws, regulations and risks
For domestic project bidding, Chinese laws and regulations should be applied, and the legal environment is basically the same, so the project risks are relatively small; However, if it is an international project bidding, there is a problem of law application, and the project risk is much greater.
(4) Benefits of the project
Bidders should conduct extensive and in-depth investigation and study, systematically accumulate relevant information, conduct comprehensive analysis, and predict and master the cost and profit of the project for decision-making.
3. Analysis of bidding strategy
3.1 Analysis of volume cost and profit
Analysis of volume cost and profit is the analysis of output, cost and profit. This analysis method is mainly used to study the relationship between factors such as price, unit variable cost and total fixed cost. In the analysis of bidding quotation of engineering projects, we can analyze the relationship among engineering quantity value, bidding rate, direct cost, fixed cost and all pre-tax profits that enterprises can obtain. Through the analysis of volume, cost and profit, decision makers can objectively estimate the impact of different factors, so as to select appropriate strategies in bidding and improve the competitiveness of bidding.
3.2 profit and profit analysis
In general, profit directly depends on three factors; Cost, quotation and engineering quantity, and these three factors are subject to three conditions; Constraints of economic environment, competition and enterprise efficiency. As we all know, the economic environment and competition are beyond the control of bidders. The economic environment determines how much "work" there is in the whole construction contracting market, and the competition determines how much work can be won in a certain quotation. And the efficiency of the enterprise determines the cost of completing the disputed engineering quantity. Bidders of engineering projects must make business plans according to the prospect of the construction industry market, decide to report high quantity and make quotations according to the competitive situation, and try their best to improve the efficiency of enterprises and make them surpass other competitors.
3.3 competitive analysis
it is true that there are various uncertainties in the bidding opportunities faced by bidders, so they cannot know the current competitive situation exactly. However, through the necessary analysis of the past bidding situation, it can provide a lot of useful information, which is helpful to reduce uncertain factors and make the best decision.
3.3.1 The information and data to be collected for competitive analysis
include the nature and scale of each contract project, the direct cost of each project estimated by the bidders themselves, the number of bidders for each contract project, the quotation distribution and reporting rate of competitors and the distribution of the lowest quotation.
3.3.2 competitive analysis includes contents
such as the relationship between the number of bidders and the competitive situation caused by the nature, scale and economic environment of the project, the relationship between the distribution of bidding quotations and the chances of winning the bid, and the difference between the lowest quotation and the second lowest quotation.
4. Application of bidding skills
Bidding skills refer to the bidding means adopted by the bidders of engineering projects in the bidding quotation, which is acceptable to the tenderee and can make more profits after winning the bid. It is also a kind of bidding art.. In the competitive bidding market, flexible application of bidding skills can improve the competitiveness of quotation to a certain extent in order to win the bid.
4.1 unbalanced quotation skills
unbalanced quotation refers to the bidding quotation of a project. After the total price is basically determined, how to adjust the quotations of various internal projects, so as not to increase the total price, not to affect the winning bid, but also to get more ideal economic benefits during settlement.
in particular, it should be noted that unbalanced quotation must be based on careful checking of the quantity of projects in the bill of quantities, especially for projects with low unit price, and the increase in the quantity of projects during implementation will cause heavy losses to the contractor. Experience has proved that a reasonable range must be controlled, generally between 8% and 1%.
4.2 multi-scheme quotation and skills of adding alternative quotation
When the project scope is not clear, the terms of the documents are unclear or unfair, or the requirements of technical specifications are too harsh, multi-scheme quotation should be made on the basis of fully estimating the bidding risk. If you can quote a price according to the bidding documents, and then put forward "If the terms are changed, how much can the price be reduced …" to reduce the total price and attract the owners. Sometimes the tender documents stipulate that an alternative scheme can be put forward, that is, the original design scheme can be partially or completely modified and the bidder's own scheme can be put forward. When adding alternative schemes, it is best not to write the scheme too specifically, but to be good at retaining the technical key of the scheme to prevent the owner from handing it over to other contractors for implementation.
in a word, the quotation of multiple schemes and alternative schemes should be made according to the specific requirements set forth in the tender documents, and the new quotation scheme proposed on this basis should have characteristics, such as lowering the quotation, adopting new technologies, new processes and new materials, and improving the overall quality of the project. At the same time, multi-scheme and alternative scheme quotation should give full play to the overall advantages of bidding enterprises, mobilize the enthusiasm of all kinds of personnel, and promote the overall level of quotation scheme.
4.3 Cost Composition and Profitability Adjustment Skills
According to the current bidding practice, some bidding documents require bidders to fill in a "unit price analysis table" for projects with large quantities. At this time, the bidder can report the labor and machinery costs in the unit price analysis table higher, while the material costs are lower. The reason is that in order to supplement the project quotation in the future, we may refer to the higher labor and machinery costs in the "unit price analysis table", while the material costs often use the current market price, so we can get higher returns.
4.4 Winning by Reputation and Winning by Advantages
Reputation is an invisible magic weapon. If the construction enterprise has a good reputation, the price can be higher. For example, for a project with complex construction technology and great difficulty, the bidder has undertaken similar projects and gained credibility, and the quotation can be slightly higher; If we want to enter a certain regional market and establish bidding credibility, we can also lower the quotation to occupy the market and seek future development. Similarly, bidders can attract owners by virtue of their own advantages in construction quality, construction speed, price level and design scheme, so as to win the bid.
5. Conclusion
With the continuous improvement of China's market economy and China's entry into WTO, there is an increasingly strong demand for international practice management in line with international standards and project management. It has been the core task of the management of construction enterprises in China to obtain the project construction task through bidding. The essence of engineering project bidding is the contest between bidders' views on strength, qualification, credibility and utility, which mainly involves the game between bidding decisions made by different bidders, bidding strategies analyzed and bidding skills used. It is reasonable to believe that it is not difficult for bidders to win in the bidding of engineering projects as long as they strictly follow the bidding steps and combine the above bidding strategies and skills.
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