Assessment Of Tender Evaluation System For Public Building Construction Projects In Kaffa Zone, Ethiopia

Abstract

The tender evaluation methods chosen for a specific building project have an impact on the construction outcome. The most common procurement of works evaluation method in Kaffa zone is the open competitive low bid method, this evaluation system helps to reduce client financial expenditure, but practically it does not meet the project within the proposed project cost and time during the construction process. The purpose of this study is to assess the tender evaluation system for public building construction projects in the Kaffa zone. The study's objectives are to identify the various types of tender evaluation of bid awarding that are currently in use for public building construction projects, to compare importance of common bid type of open bidding evaluation methods, and to assess the problems of tendering processes in public building construction. Primary data were collected by questionnaires and interviews conducted on professionals working in the three construction parties (client, contractor and consultants. In addition, a case study was also conducted on 10 purposively selected public building construction projects in Kaffa zone. From the 35 questionnaires distributed, 32 were returned and the data were analyzed using Excel as well as SPSS software. The result of this study revealed that open competitive lowest evaluated bid method has been utilized to a ward public building construction project in Kaffa zone. This method was also used to award a total of ten projects that were assessed. However, the lowest bidder ensures the lowest cost award, but the lowest cost award does not guarantee that the building project was completed within proposed the time and cost. When compared to common open bidding methods the weight average bid evaluation method helps to finish the project according to the proposed quality, reasonable cost, and better performance. However, the weight average bid evaluation method is not practical. The leading problems of the tender evaluation process in public building construction works of open bidding methods are a lack of understanding of the scope of work, arithmetic errors in the bid and laws and regulations are not perfect, and the degree of execution is not enough. According to the findings of this study, open bidding method directives should be modified for using other procurement methods and to complete the public building construction project with in proposed project cost and time schedule.