Unit of competency details

Unit descriptor 

This unit of competency specifies the outcomes required to manage tender developments for major projects. It covers the facilitation, implementation and management of the tender development system in a building and construction organisation involved in residential and/or commercial projects.

It supports the production of tenders that are based on sound economic, business, and human and physical resource data in accordance with the necessary organisational guidelines.

Application of the unit 

This unit of competency supports the needs of builders and senior managers in building, construction and services, typically working in larger organisations and managing more complex projects and processes, responsible for managing tender developments for major residential and commercial projects.

It is essential that competence is demonstrated in relevant aspects of management of the ongoing tender development process, extensive background data provision, risk analysis and comprehensive evaluation of the tender prior to submission by the organisation. Knowledge of financial and business administration principles, human resource practices, industrial relations and legislative and regulatory requirements is essential.

Prerequisite units 

Nil

Employability skills 

This unit contains employability skills.

Elements describe the essential outcomes of a unit of competency.

Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the required skills and knowledge section and the range statement. Assessment of performance is to be consistent with the evidence guide.

ELEMENT 

PERFORMANCE CRITERIA 

1. Evaluate contract risk.

1.1. Invitation to tender is reviewed and analysed.

1.2. Contract documents pertinent to the project are obtained and examined in detail.

1.3. Conditions of contract  are examined and confirmed in accordance with legislative and organisational requirements.

1.4. Organisation's current work load is verified to determine capacity to meet contract timelines.

1.5. Risk analysis  is conducted and degree of risk in the project is investigated and established.

1.6. Management team is consulted in relation to likely construction approach and resources.

1.7. Client is advised of the intention or otherwise to submit a tender response.

2. Manage the tender process.

2.1. Staff members are allocated to tender preparation process.

2.2. Contact made by staff with subcontractors and suppliers to obtain quotations for services or physical resources is supervised.

2.3. Development of pre-tender construction or project schedule is managed and supervised.

3. Manage the development of human and physical resource costs.

3.1. Determining current equipment and materials charge-out rates is monitored.

3.2. Establishment of labour rates for elements of work is monitored and managed.

3.3. Project elements are analysed to ensure they conform to organisational contracting processes.

3.4. Rates to be applied to elements of the work are arbitrated on, to ensure these are compared to relevant existing records of costs.

3.5. Staff members are supervised to ensure appropriate rates are applied to the bill of quantities.

3.6. Extensions of human and physical resource costs  are reviewed and monitored to ensure their accurate translation into the estimate summary.

3.7. Staff are monitored as they calculate and extend values for preliminaries and overheads.

3.8. Staff are monitored to ensure they are calculating and including all supplementary costs.

4. Prepare complete tender documentation and operating margins.

4.1. Conditions of contract are reviewed and assessed to ensure there are no variations to the tender.

4.2. Subcontractor quotes are reviewed and assessed to ensure there are no variations to the tender.

4.3. Availability of plant and equipment is checked and confirmed.

4.4. Delivery schedules are confirmed and material suppliers are followed up.

5. Evaluate tender documentation prior to submission.

5.1. Staff preparation of the schedules, which detail the sequence of work, is supervised and managed.

5.2. Progress of the tender development is monitored for timeliness and accuracy.

5.3. Documentation is reviewed to ensure that tender is finalised in standard industry format for the client.

5.4. Final tender documentation  is appraised for completeness and allocation of critical rates and allowances prior to its submission.

REQUIRED SKILLS AND KNOWLEDGE 

This section describes the skills and knowledge required for this unit.

Required skills 

Required skills for this unit are:

• communication skills to:

• consult management team
• enable clear and direct communication, using questioning to identify and confirm requirements, share information, listen and understand
• liaise with client
• read and interpret:

• contract documents
• invitation to tender
• legislation
• subcontractor quotes
• tender documentation
• other relevant documentation

• use and interpret non-verbal communication
• use language and concepts appropriate to cultural differences
• written skills to maintain records

• conceptualising and envisaging unique solutions to complex problems and situations
• delegating tasks within specific functional guidelines
• directing the activities of personnel involved in the tender development process
• facilitating the implementation of new and more appropriate information systems
• interpreting strategic and often ambiguous information and reaching logical and practical decisions
• monitoring and overseeing the performance of systems and individuals involved in the process
• numeracy skills to apply calculations
• technological skills to facilitate use of the organisation's software and office equipment.

Required knowledge 

Required knowledge for this unit is:

• appropriate sector of the building and construction industry and nature of the contracts upon which its activities are based
• factors to be considered in assessing the risk inherent in different types of building and construction projects
• financial and business administration principles commensurate with organisation's needs
• human resource practices and the industry's industrial relations climate and practices
• relevant state or territory building and construction codes, standards and regulations
• socioeconomic and political factors which determine the climate in that sector of the building and construction industry.

EVIDENCE GUIDE 

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment 

This unit of competency could be assessed by effective management of tender developments for major projects.

This unit of competency can be assessed in the workplace or a close simulation of the workplace environment, provided that simulated or project-based assessment techniques fully replicate construction workplace conditions, materials, activities, responsibilities and procedures.

Critical aspects for assessment and evidence required to demonstrate competency in this unit 

A person who demonstrates competency in this unit must be able to provide evidence of the ability to:

• develop tenders that comprehensively address project requirements
• implement management practices that result in a high level of strategic input and accuracy
• manage data acquisition from within and external to the organisation
• demonstrate conceptual and strategic problem solving and organisation of resources
• communicate effectively both verbally and in writing with owners, senior management and employees
• comply with legislative and regulatory requirements, standards and codes of practice.

Context of and specific resources for assessment 

This competency is to be assessed using standard and authorised work practices, safety requirements and environmental constraints.

Assessment of essential underpinning knowledge will usually be conducted in an off-site context.

Assessment is to comply with relevant regulatory or Australian standards' requirements.

Resource implications for assessment include:

• documentation that should normally be available in a building or construction office to comply with legislation and organisation policies
• relevant codes, standards and regulations
• office equipment, including calculators, photocopiers and telephone systems
• computers with appropriate software to view 2-D CAD drawings, run costing programs and print copies
• a technical reference library with current publications on measurement, design, building construction to support underpinning knowledge and manufacturers' product literature
• copies of appropriate awards and workplace agreements
• a suitable work area appropriate to the tendering process
• client file for information and review.

Reasonable adjustments for people with disabilities must be made to assessment processes where required. This could include access to modified equipment and other physical resources, and the provision of appropriate assessment support.

Method of assessment 

Assessment methods must:

• satisfy the endorsed Assessment Guidelines of the Construction, Plumbing and Services Training Package
• include direct observation of tasks in real or simulated work conditions, with questioning to confirm the ability to consistently identify and correctly interpret the essential underpinning knowledge required for practical application
• reinforce the integration of employability skills with workplace tasks and job roles
• confirm that competency is verified and able to be transferred to other circumstances and environments.

Validity and sufficiency of evidence requires that:

• competency will need to be demonstrated over a period of time reflecting the scope of the role and the practical requirements of the workplace
• where the assessment is part of a structured learning experience the evidence collected must relate to a number of performances assessed at different points in time and separated by further learning and practice, with a decision on competency only taken at the point when the assessor has complete confidence in the person's demonstrated ability and applied knowledge
• all assessment that is part of a structured learning experience must include a combination of direct, indirect and supplementary evidence.

Assessment processes and techniques should as far as is practical take into account the language, literacy and numeracy capacity of the candidate in relation to the competency being assessed.

Supplementary evidence of competency may be obtained from relevant authenticated documentation from third parties, such as existing supervisors, team leaders or specialist training staff.

RANGE STATEMENT 

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Conditions of contract  include:

• contract clauses and intentions
• dispute resolution
• general conditions of contract
• legislative and regulatory requirements
• liabilities
• parties' obligations under contracts.

Risk analysis  includes:

• analysis and revision of data
• critical incident analysis and reporting
• proposing solutions and recovery scenarios
• risk management practices
• scheduling and planning for contingencies.

Human and physical resource costs  include:

• developing and introducing costing methods and systems
• development of subcontracting and organisational contracting arrangements
• establishing methods of calculating standard times for work activities
• establishing personnel review and evaluation processes
• evaluation of work practices and industrial relations arrangements
• human resource processes, including:

• legislative and regulatory requirements
• maintaining accuracy and legitimacy of the tender process
• management of material costs and information concerning availability
• management of work practices and staff discipline
• performance appraisal
• selection and training of personnel to deal with the tender function.

Tender documentation  includes:

• drawings and specifications
• form of tender
• head and sub contracts
• pre-contract documentation
• tendering codes of practice and standards.

Unit sector 

Construction

Co-requisite units 

Nil

Functional area