CE 426S- ADVANCED CONSTRUCTION METHODS AND EQUIPMENT

Instructor: Engr. Calvin Leigh D. Dalida, CE

Course Description
Deals with the principles of construction methods and equipment, management and their
applications. It covers analytical techniques for project planning, scheduling, monitoring and control. It also
includes concepts on organization, quality control and assurance, quality management, safety, information
systems and computer applications and softwares. Students are given opportunities to visit actual sites and
observe the application of these theories and concepts in construction projects.

LESSON 1: Construction Project Cycle, Preparing a Bid Package, Bidding Process

and Requirements
Construction Project Cycle

Project managers serve as the backbone of successful construction projects, dealing with a vast
number of complexities on a daily basis. Project management in construction, which includes juggling
various tasks and ensuring a project meets its deadlines, takes a great deal of expertise. The Project
Management Institute (PMI) defines project management as “the application of knowledge, skills, tools and
techniques to a broad range of activities to meet the requirements of a particular project.” With so many
details and steps going into a project, it is essential that project managers understand the project life cycle.
Breaking up a project into these five logical steps outlined by the PMI can help ensure your project is
organized and successful every time.

1. Project Conception and Initiation

The first construction project phase is building conception and initiation. The owner initiates the
idea and gathers his team of experts (design, contractor, trades). Collectively, the team decides whether or
not a project is feasible and if they can realistically complete it within the desired timeframe. This means
gathering a team of trusted partners together to do meticulous research to determine the scope and cost of
a project.
Two ways that the team can evaluate and determine this is through a feasibility study and/or
business case document. A feasibility study looks at the goals, costs, and timeline of a project to determine
if the project manager thinks they have enough resources to pursue the project. A business case document
defines the reasoning for starting a new project and the financial benefits. If after further research and
discussion a project is found to pass these evaluation tests, the project will move on to create a project
charter or Project Initiation Document (PID). On the contrary, if the team deems the project unprofitable or
unachievable, they will cancel the project.

2. Project Definition/Planning
Once a project is approved and given the thumbs-up, a plan needs to be outlined and put into
writing. Having a written plan helps ensure that everyone on the team is on the same page and understands
the steps that they must take to complete the project effectively. During this step in the construction project’s
life cycle, many of the fundamental best practices for project management in construction are utilized in
this phase.
Even before the design documents and drawings have started, designers, contractors, and trade
partners must work collaboratively to achieve the project owner’s goals. Gathering insight from all project
stakeholders in the beginning will provide better alignment on cost, scope, duration, and quality. Hitting on
each of these areas gives the team a well-rounded idea of what will go into a project and address any possible
risks proactively. Therefore, an important part of project management in construction is having a thorough
risk mitigation plan.
The more issues that the team can address during the planning phase will save time and money
during the execution phase. This is why early involvement of trade partners and subcontractors is critical.
This phase is imperative in preparing and executing a successful project.

3. Project Launch/Execution
The next step in the construction project life cycle is the actual execution based on your
comprehensive plan developed in the previous step. This stage is where the team collectively develops
deliverables to satisfy the customer. This is where the magic happens and the project comes to life. Using
the plan as the project guide, team members assign specific tasks for completion and allocates resources
accordingly. Some of the specific tasks during this phase include: assigning teams, executing project
management plans, conducting status meetings, updating project schedule, and modifying project plans.

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 With much of the execution happening at the jobsite, it is critical for those that are not on the jobsite
to have visibility. Project managers in the office, designers, and owners rely on the updates of the field team
to gauge execution. There are lots of fancy new technology available to gauge progress and jobsite activity
such as drones, cameras, lasers, and sensors. However, sometimes a good old daily report will suffice.

4. Project Performance/Control
This stage of the project life cycle is all about monitoring. Project performance and control goes
hand in hand with the previous step because they occur simultaneously. During this construction project
phase, project managers track a project’s progress. Many times the project manager must make several
adjustments to keep a project on track. Specific key performance (or project) indicators (KPI’s) for cost,
time and quality are selected and utilized. These KPIs determine degrees of variation from the original
project goal. Some examples of specific KPI’s include project schedule, estimate to project completion,
effort and cost tracking, and project performance. Calculating these KPI’s keeps projects on track to prevent
any project failures.

5. Project Close
Once the team executes all the deliverables and delivers it to the satisfaction of the customer, they
can close the project. When the team officially completes the project, we move into the final stage of the
construction project life cycle. This last step is vitally important because it allows team members to
evaluate, document and learn from the project. Project Close helps members determine what issues they
had so that they can make improvements in the future. A final team meeting is usually held and led by a
project manager to officially mark the ending of the project. Valuable team members are rewarded and
recognized, contractors are terminated, and project successes and failures are identified. Also, project
managers must create a final project budget and report to close out the project.
While this is the close of one project, all the lessons learned and data is important to take into future
projects. When reviewing actual hours on specific labor activities versus the estimates, the team can adjust
estimates on future projects. For example, perhaps the team discovered that site work actually consumes
200 labors. However, previous bids included estimates of 150 hours. This is critical information that can be
used to improve future bids.

Bid Package
A bid package is term used to describe all the documents that are necessary in order to respond to
and participate in what is known as an invitation to bid. The range of documents involved in a given bid
package will vary, based on the requirements set by the entity issuing the bid. Failure to comply with the
requirements of the issuing entity by not including all the documentation requested will normally result in
being denied the privilege of participating in the bid process any further, or at least not being considered
until an amended and complete package is submitted.

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 One of the more common examples of bid packages is found in the contracting business. A typical
contractor’s bid package will include several documents, including a completed bid form that is supplied
by the entity issuing the bid. Along with the bid form, a range of documents that support the information
contained on that main form will also be included. These will include documentation such as sketches and
drawings relevant to the project, timelines for completion, pricing for each type of expense associated with
construction, and even background information on the bidder in terms of years of operation and any
expertise with similar construction projects. As with any type of bid package, the idea is to provide all the
information necessary for the prospective client to make an informed decision.

Preparing the Bidding Documents

What are Bidding Documents?
Bidding documents are documents issued by the Procuring Entity to provide the prospective bidders all the
necessary information that they need to prepare their bids. These clearly and adequately define, among
others:

 The objectives, scope and expected outputs and/or results of the proposed contract;
 The expected contract duration;
 The obligations, duties and/or functions of the winning bidder; and
 The minimum eligibility requirements of bidders, such as track record to be determined by the Head
of the Procuring Entity.
What are the contents of Bidding Documents?
The Philippine Bidding Documents (PBDs) contain the following:
1. Invitation to Apply for Eligibility and to Bid (IAEB);
2. Eligibility Documents;
3. Eligibility Data Sheet;
4. Instructions to Bidders (ITB);
5. Bid Data Sheet (BDS);
6. General Conditions of Contract (GCC);
7. Special Conditions of Contract (SCC);
8. Specifications;
9. Drawings;
10. Bill of Quantities; and
11. Forms and Qualification Information.
The specifications and other terms in the bidding documents shall reflect minimum requirements. A
bidder may, therefore, be allowed to submit a superior offer. However, in the evaluation of the bids, no
premium or bonus must be given as a result of this superior offer. This rule is based on the nature of the
procedure used to evaluate the technical proposals – a “pass/fail” method – such that the presence or absence
of the technical requirements is the sole basis for determining technical compliance. After having
established compliance with the technical specifications, the next factor to consider would then be the price
or financial bid.
In addition to properly crafted Bidding Documents, what other practices may a Procuring Entity
observe to ensure a successful procurement?
All prospective bidders should be provided the same information, and should be assured of equal
opportunities to obtain additional information on a timely basis.
Procuring Entities should provide reasonable access to project sites for visits by prospective bidders.
For works, particularly for those requiring refurbishing existing works, a pre-bid conference may be
arranged whereby potential bidders may meet with the Procuring Entity’s representatives to seek
clarifications (in person or online).

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 Any additional information, clarification, correction of errors, or modifications of bidding documents
should be sent to each recipient of the original bidding documents in sufficient time before the deadline for
receipt of bids to enable bidders to take appropriate actions. If necessary, the deadline should be extended.
Who shall participate in the preparation of the Bidding Documents?
The following must participate in the preparation of the bidding documents:
1. The BAC;
2. The TWG;
3. The end-user unit/PMO;
4. Consultants, if any; and
5. The BAC Secretariat.

Bidding and Awards Procedure

The following outlines the steps for locally-funded projects. Foreign funded project procedures are
based upon the rules of the specific lending institution.
1. Preparation of Project Procurement Management Plan (PPMP)
2. Pre-procurement conference
3. Advertisement / Posting
4. Application for Eligibility / Expression of Interest
5. Eligibility evaluation, including notification of eligible and ineligible bidders
6. Issuance of bid documents
7. Site inspection
8. Pre-bid conference
9. Submission / Opening of bids
10. Bid Evaluation
11. Post-qualification
12. BAC Deliberation and Approval of Resolution of Award
13. Contract Preparation and Approval
14. Issuance of Notice to Proceed

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