Topic 2

LOGO
TOPIC 2 :
THE TENDER
PROCEDURE
JABATAN KEJURUTERAAN AWAM
SYLLABUS
2.0 THE TENDER PROCEDURE ( CLO1, PLO1 )
2.1 UNDERSTAND THE TENDER PROCEDURE
2.1.1 Explain the tender and quotation definitions.

2.1.2 categorize the types, characteristics advantages
and disadvantages of tender:
a. Open tender
b. Limited tender ( Only Bumiputera)
c. Selective tender
d. Pre- Qualification tender / two stages
tender
e. Negotiable tender
www.themegallery.com
2.1.3 Analyze tender document, table tender dokument,

tender notice, tender forms, closing of tender, opening of
tender, tender opening committee, tender report,
tender box, tender validation period and extension of
tender validation period, tender board and its authorities,
tender award, tender rejection and re-tendering.
COURSE LEARNING OUTCOMES:
Upon completion of this topic , the

student should be able to :
CLO 2:Integrate correctly the

principles of tender and contract
procedure according to Standard
Public Work Department Standard

Forms Of Contract. ( C5)
TYPES OF GOVERNMENT PROCUREMENT
1 Sebutharga (Quotation)
2 Tawaran / Tender
Company Logo
1 Sebutharga (Quotation)
The process to called, and choose a

contractor
Work values of less than RM500,000
Involves the indent works , imergency work
or a vote.
Offered to Class F contractors
The type of job quotes:

Emergency work ( Direct Issue)
Vote work
Indent work
Company Logo
2 Offer / Tender
The process to called qualifying and

selecting contractors
The value of work in excess of RM500, 000
In the construction industry, is a special
offer for doing construction works, supply
of materials and so on.
Selection is made through the normal
competition
Company Logo
2 Offer / Tender
The types of Tender is:
Open Tender
Limited Tender
Selective Tender
Pre Qualification Tender
Negotiation Tender
Company Logo
Types of Offer / tender
Open
Advantages Disadvantages
Tender
Tender preparation
Normal practical More pricing options process takes longer
Reasonable Suitable to the time and not suitable
simple construction for urgent works.
prices
Provide opportunities High risk to accepting
Advertised in
for new and the lowers biding cost.
local newspaper
inexperienced Selection process of

or notice board
contractors qualified contractor is
client.
Unlimited difficult.
Do not encourage the
number of
use of advanced
tenderer
equipment or latest
technique.
Company Logo
Open Tender / Special Open To
Bumiputera
In SPP 4 / 1995, the Agency shall

allocate at least 30% of the value of
work to Bumiputera contractors.
PWD practice, seek confirmation of the

Bah. Pembangunan Usahawan, Kem.
Kerja to determine whether the
standard tender called by the Special
Bumiputera or open;
Advertise in local newspapers at least in

one Malay paper (PWD - Every Monday /
Thursday)
Company Logo
Limited
tender
Reserved for Provide

bumiputera Limited to a group
opportunities for
contractors / spesified of contractors
Bumiputera
class stated in the make expert or
contractors or
tender. skilled contractor
contractors in
Contractor from other class
spesified class to
qualification class is have no
attend bidding.
acquired during more limited price opportunity.
Less competition
registration with PKK options

and CIDB. The tender due to less
Advertised through participancy from
processing time is
local newspapers or other class of
shorter and selecting
display on the notice contractor make
process is faster.
board in employers Client will acquired the offer price is
office higher.
a high quality
Number of contractor Company Logo
construction
Selective
Tender
Only offer to Client is more Higher offer price

selected contractor confident in attaining because of less
by client high quality work. competition
Competition Only good Possibilities of
accurs among performance and wide having cost
selected tenderes. experienced conspiracy among
The Offer is not contractors will selected
advertised
participate in the contractors.

The client tender. New and
normally selects Process analysis and inexperienced
the contractors to selection of contractors are
attend selected contractors offer can declined the
tender based on be done faster. opportunity to attain
their expertise and The selection of the the tender.
experience in a lowest price is Company Logo
Criteria, including:
1- Projects should be implemented immediately,
or
2- Requires special expertise, or Refer:
3- Work involves safety SPP 4/2000
Project < RM5.00 million

Selected Selected Determined by:
contractor by ? Lembaga Perolehan
Min: 10 Contractor
- List the contractor;

- Justification
- The scope and cost By:
Kementerian Kewangan
Company Logo
Types of Offer / Tender
Pre
Qualification
Tender
The client can be Opportunities to

precisely select qualified contractors who
Only offer to the contractor because the have expertise
selected contractor contractors attending the only.
through a pre- tender have undergone Quatation may
qualification the screening process at be high because
process the pre-qualification level of fewer qualified
The tender was Only an experienced contractors.
Required
advertised contractor, good work

Carried out for record and sufficient screening
projects that capital be eligible for this process therefore
require expertise offer process needed
and international The process of analysis is longer.
standard and selection of deals Only for mega
requirments can be done faster. project.
Company Logo
Intend to ensure that only
Pre contractors who have the
capability financial and strong
Qualification technical invited to participate in
this tender
Applications through the Lembaga Perolehan

Criteria Agreed?, pre-qualification documents are prepared and
advertised in local newspapers;
Accepted document that assessed the Contractor:
Financial capability;
Technical capabilities of their work experience, technical staff and
plant;
The valuation contractor provided to the Procurement Board for

consideration and approval;
Participate in the offer letter together with the tender document
will be sold only to approved and eligible contractors only.
While the unsuccessful will be notified by mail.
Company Logo
Types of offer/ Tender
Negotiation
Tender
Done through a Only Contractor with Only

process of direct experience and expertise Opportunities to
negotiations will participate contractors who
Tender is not Tender process more have expertise.
advertised easier and faster as there Higher offer price
Background of the is no advertisement. because of less
contractors have to Employers are not competition
know first according involved in the initial
Possible
to the project to financing projects eg misappropriation
completion soon, BOD at the planning
expertise, etc . Suitable in acquiring stage
Sometimes the expert service from Tender
client has not yet contractor in the competition is
decided on its scope specified field for a large limited.
for a complex and scale project. Company Logo
Criteria, including:
Projects should be implemented
immediately, or
Direct Negotiation
Requires special expertise, or
Work involves security or
Only one contractor who have the
expertise
Project < RM5.00 million

Decided By :
Selected Lembaga Perolehan
Selected by? Min: 10 Contractor
Contractor
By:
Kementerian Kewangan / client
Company Logo
Difference between pre-
qualification and negotiable tender
Pre- qualification tender Negotiable tender

Tender advertised to choose Employers to choose a
a contractor contractor without being
advertised.
Construction costs to be Construction costs to be

higher due to the used of higher due to the control of
high technology waste materials and the not
so good
Company Logo
A tender process flow chart
Project identification
Tender type selection
Pre-
Open Limited Selected Negotiation
Qualification
Prepare Prepare Select Invitation
tender tender contractors through
document document for tender
tendering notice Inform and
offer tender to
pre-qualified
Feedback contractor
acceptance
Advertise Offer tender Advertise tender

Advertise to selected Select and
limited and give out
tender contractors give out
tender pre-qualification
tender form
form
Accept and evaluate tender
Company Logo
Select and award tender
T
E
B N
A D
S E
E E
R
&
D
R O
U C
L
U
E
S M
E
N
T
Company Logo
TYPES OF TENDER DOCUMENTS
TENDER
DOCUMENT
TD base on
TD base on Bill of Drawings and
Quantity Specifications
Appropriate to
The preparation the project to be
requires a long time completed

For Big Project immediately
as a basis for The project is not
valuation of the complex , low
work and progress cost.
payments Contractor put
lump sump rate
Company Logo
TABLE OF CONTENTS OF TD
1 TD Base on Bill Of Quantity
Letter inviting of Tender

Checklist for submitting of tender
Standard form of Contract (JKR 203A)
Form of Tender (JKR 203B)
Letter of Acceptance Tender (JKR 203D)
Instructions to Tenderers
The list of Preliminary work, materials information &
Quality of work
Specification
Form of Background information for tenderers
Bil Of Quantity
Working drawings
Appendix
Company Logo
TABLE OF CONTENTS OF TD
2 TD Base on drawings and specification
Letter inviting of Tender

Checklist for submitting of tender
Standard form of Contract (JKR 203)
Form of Tender (JKR 203C)
Letter of Acceptance Tender (JKR 203D)
Instructions to Tenderers
The list of Preliminary work, materials information &
Quality of work
Specification
Form of Background information for tenderers

Summary Of Tender
Schedule of Rate
Working drawings
Appendix
Company Logo
TABLE TANDER DOCUMEN (TTD)
More complete than the TD

Prepared by the QS, before an offer /
Tender is advertise
Basis in the preparation of Contract
Documents
Placed in a special room (Officer) or on a
special desk in the office of the employer
such as Pengarah JKR, KPP (QS).
To get a clear informations of the project
and review of contractor

Will be display from the tender offer untill
the closing date of tender
Company Logo
COMPARISON OF DT & TTD
TTD TD
Sold to contractors
Displayed on the table
Documents become the
which the party submitting
property of the
the bid.
contractor is eligible to
As a reference document
join bid
to be reviewed and Provided to contractors
investigated by the
who enter bids
contractor before
submitting their bids
As a basis for the
contractor to put the right

price of bid
Company Logo
TENDER ADVERTISING / Tender
Notification
DEFINATIONS
Is a statement issued by the employer

/ developer to invite contractors to
participate or enter tender for the
proposed project.
Tender Advertising available to inform

the contractors who are interested in

important details of a bid
Company Logo
Company Logo
Company Logo
Company Logo
Company Logo
TENDER ADVERTISING
ANNOUNCEMENT
INTERESTING FEATURES
INFORMATION
COMPLETE
Company Logo
TENDER ADVERTISING
INFORMATION
Logo and name of Place to buy and take TD

employer Place and time to return TD
Job title Date and time of Site visit,
Type of offer/ tender and place to encounter
Classes of Contractors Office which can be

that are invited checked TTD
Head and Sub Head The time and date to check
Price of Tender TTD
Document tender closing date
Company Logo
STANDARD FORMS
Current tendering
Appointments Form of Quantity Surveyors

Security Guarantee Form
Form of Contract
Contractor Pre-Qualification Form
Forms for Nominated Contractors and Material
Suppliers
Summary form and the tenderers are involved
Current Projects Form for Tender
Tender Form Error for tenderers

Form of tender results
Company Logo
PROCEDURE AFTER CLOSE
TENDER Display
tender prices
Analysis of
Open TD A C bids / tender
The
Award of bid E D preparation of
the report
tender
Company Logo
Open Tender
1. Tender Opening Committee

Membership
a. Consists at least two officers, where

one of them is a Professional or from
the management level;
b. Members should be different from

the Tender Evaluation Committee
c. Appointed in writing by the Head of

Department / Division
Company Logo
Open Tender
2. Tender Opening Committee Duties

Tender Box must be open as soon as possible
after the tender closed
Give the code number to price list of document
tender
Initials of each sheet which states the price and
any amendments
Ensure that the names of tenderers not registered
in the technical specification documents tenderer
Prepare and complete the check list and form of

Tender Schedule
Tender Price Schedule Provides for display (no
name tenderer) which list down the contractors
bid from the highest to the lowest.
Company Logo
Open tender
3. Late Tender
Any late tenders can not be opened by

the Tender Opening Committee
4. Showing Tender Price Schedule
After the tender opening, tender pricing

must be displayed as soon as possible;
Company Logo
Secrecy of Information and Tender
Position
All information about the tender,

before a final decision is Secret;
If during the tender evaluation
process requires an explanation, it
must obtain the written consent of
the Chairman of the LP ( Board of
procument) should be in relation
to any tenderer
Company Logo
Tender analisis
Tender
Analisis
First Stage Second Stage

Evaluation Evaluation
Bid price
Completeness of bid
Experience
Satisfactory financial Current work
status performance
Technical supports
Satisfactory current
Plant, quarry &
work performance
factory
Company Logo
Company Logo
BORANG TENDER YANG TIDAK DITANDATANGAN
Company Logo
TEMPOH SAHLAKU
PENANDATANGAN
DIBERI KUASA
Company Logo
TEMPOH SAHLAKU
Company Logo
TENDER FORM
TEMPOH KONTRAK
TIDAK DINYATAKAN
HARGA TENDER
TIDAK DIISI
Company Logo
TENDER FORM
HARGA DALAM
PERKATAAN
HARGA DALAM
ANGKA
Company Logo
Company Logo
LEMBARAN IMBANGAN
Company Logo
PENYATA BULANAN AKAUN SEMASA BANK
Company Logo
Laporan
Kedudukan
Kewangan
Company Logo
Laporan
Kemajuan
Semasa
Projek
Company Logo
ANALISA KEPUTUSAN AWAL
Company Logo
JADUAL PERBANDINGAN HARGA
Company Logo
Tender Analisis
PREPARATION
TENDER REPORT
Difference Estimated
between the
A summary of the
employer & any
scope of work
tenderer
How to invite tender & The background of

tender period the tenderer
Suggestions and
List of tenderers
support to the Board
Computation errors Offer
tenderer
Company Logo
ACCEPTANCE OF TENDER
Acceptance
of tender
The letter
Letters Of
intention Acceptance
Company Logo
REASONS FOR REJECTING TENDER
CAUSES
A Contractor offers Non-compliance

very high tender price with any conditions
A Contractor offers of the tender
very low tender Details of the offer is
Current workload is not completed
too much Not enough financial

A contractor with allocation (owner)
unsatisfactory work
record
Company Logo
REASON FOR RE TENDER
CAUSES
The offer price is too There are errors in

high the tender
(calculations / details
The offer price is too of the painting, etc.
low by the owner )

Not enough financial
allocation (owner)
Company Logo
State the difination of :
Tender document
Table tender document
Tender notice
Tender closing
Tender Comitee
Tender Box
Tender report
Company Logo
DIFINATION :
a.Tender Document
Document contains all information required by
contractor
To estimate the cost of offered project
b.Table Tender Document

Similar to Tender Document, located in the
clients office
Can be review by the contractor.
c.Tender Notice
A notice advertised in the major newspaper to
call the interested
Contractor to bid for the tender
Company Logo
d.Tender Closing
A final submission date according to the
advertisement.
e.Tender Committee
A group of personnel appointed by the client to
open
The tender box and later on will be responsible for
tender assessment.
f.Tender Box
A locked box to submit the tender document and

placed in the clients office
Company Logo
g.Tender Report.
Prepared by Tender Committee and the
contents will cover various
Aspect of each contractor background.
Company Logo
LOGO

Topic 2

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Topic 2

Uploaded by

Copyright:

Available Formats

LOGO

2.1 UNDERSTAND THE TENDER PROCEDURE

2.1.1 Explain the tender and quotation definitions.

2.1.3 Analyze tender document, table tender dokument,

Upon completion of this topic , the

CLO 2:Integrate correctly the

Public Work Department Standard

The process to called, and choose a

The type of job quotes:

The process to called qualifying and

The types of Tender is:

inexperienced Selection process of

In SPP 4 / 1995, the Agency shall

PWD practice, seek confirmation of the

Advertise in local newspapers at least in

Reserved for Provide

registration with PKK options

Only offer to Client is more Higher offer price

participate in the contractors.

Project < RM5.00 million

- List the contractor;

The client can be Opportunities to

advertised contractor, good work

Applications through the Lembaga Perolehan

The valuation contractor provided to the Procurement Board for

Done through a Only Contractor with Only

Project < RM5.00 million

Pre- qualification tender Negotiable tender

Construction costs to be Construction costs to be

Tender type selection

Advertise Offer tender Advertise tender

requires a long time completed

Letter inviting of Tender

Letter inviting of Tender

Form of Background information for tenderers

More complete than the TD

and review of contractor

contractor to put the right

Is a statement issued by the employer

Tender Advertising available to inform

the contractors who are interested in

Logo and name of Place to buy and take TD

Classes of Contractors Office which can be

Appointments Form of Quantity Surveyors

Tender Form Error for tenderers

1. Tender Opening Committee

a. Consists at least two officers, where

b. Members should be different from

c. Appointed in writing by the Head of

2. Tender Opening Committee Duties

Prepare and complete the check list and form of

Any late tenders can not be opened by

4. Showing Tender Price Schedule

After the tender opening, tender pricing

All information about the tender,

First Stage Second Stage

How to invite tender & The background of

A Contractor offers Non-compliance

too much Not enough financial

The offer price is too There are errors in

low by the owner )

b.Table Tender Document

A locked box to submit the tender document and