B.Sc. Civil
Engineering
Construction Planning &
Management
Engr. Ghanim Saqib
Department of Civil
Engineering, ISP Multan
What is Pre-Qualification?
Pre-Qualification
▪ Qualification in advance to take part in something. – Oxford Dictionary
▪ Preliminary stage in a bidding process where it is determined if an
applicant has the requisite resources and experience to complete the job
as required. – Businessdictionary
▪ To qualify beforehand (e.g. for a preliminary stage or shortlist) – The Free
Dictionary
▪ Pre-qualification is an assessment made by the Employer, of the
appropriate level of experience and capacity of firms expressing interest
in undertaking a particular contract, before inviting them to bid. – PEC
Pre-Qualification in Construction Industry
▪ In case of complex job or prestigious works where stakes are high,
“prequalification” system is adopted.
▪ This is necessary to involve only reliable, resourceful and efficient
parties in the bidding.
▪ The interested parties are asked to present documents for prequalification by submitting proof of their merits on the basis of the
criteria such as past performance, financial soundness, technical
competence, resourcefulness pertaining to equipment and skilled
manpower.
▪ Tenders are invited only from these prequalified firms.
Aim of Pre-Qualification
▪ The basic aim of the prequalification is intended to eliminate, early in
procurement proceedings, Constructors that are not suitably qualified to
perform the Contract.
▪ Also some times Constructors are reluctant to participate in procurement
proceedings for high value Contracts, if the competitive field is too large
and where they run the risk of having to compete with unrealistic tenders
submitted by unqualified or disreputable Constructors.
▪ Pre-qualification is also helpful for providing a chance for selection of
smaller constructors under “Slice and Package” system of tendering.
Aim of Pre-Qualification
Prequalification is the basic tool to;
i.
Encourage realistic bids by the Bidders because they know that they are
competing against qualified bidders who have cleared the minimum
competence criteria;
ii. Assess the interest of the prospective bidders in the bidding process;
iii. Make any adjustments/modifications in the bidding documents if a pointer
is available from the lack of interest by the prospective bidders applying
for prequalification;
iv. Reduce the effort and so the time in evaluation of bids from un-qualified
bidders;
Aim of Pre-Qualification
v. Help the bidders to evaluate and take stock of their
capability and consequently to form joint ventures with other firms;
vi. Reduce the problems associated with low priced bids from
bidders of doubtful capability and;
vii. Help the bidders who are insufficiently qualified to avoid the
expense of bidding.
PEC Standard Procedure for
Pre-Qualification of Contractors
Invitation for Pre-Qualification
i.
Invitation for Prequalification Notice be advertised through on PEC & PPRA’s
Web site and other relevant/available forum for procurements estimated to
cost more than Rs. Forty Thousand (40,000/-) and also through press when
procurement is estimated to cost more than Rupees one million. The
invitation shall be open to all applicants licensed by PEC in the respective
category besides specific requirements of the User if included in the
document.
ii. Generally not less than six (6) weeks shall be provided for
preparation/submission of applications by the applicants. However for
large/complex projects the period may be extended upto twelve (12) weeks.
General Pre-Qualification
Guidelines by PEC
For guidance, the following may be considered; however the
Employer/User can fix his own criteria depending upon nature, size and
requirements of the specific projects.
S. No.
Category
Weightage
1
General Experience
35
2
Personnel Capabilities
15
3
Equipment Capabilities
20
4
Financial Soundness
30
Total
100
Note: Prequalification status shall be decided on the basis of Pass/Fail
basis. The applicant must secure at least 50% score in each category.
Pre-Qualification of Consultants
Importance & Philosophy
▪ Prequalification of Consultants is an important step in the selection
process to ensure high quality proposals for a meaningful proposal
evaluation in shorter time for grading of firms in order to have an
ultimate selection of suitable consultants.
▪ The qualifications and experience of the qualifying consultant
should be such as to reflect its previous association with such kind
of project(s) and capability to handle the project with dexterity.
Pre-Qualification of Consultants
Prequalification and short-listing of Consulting Firms from the long-list has
following inherent benefits not only for the client formations but also for
the consulting profession and the consultants themselves:
• Encourages consultants to prepare high quality proposals.
• Increases the possibility of selecting most suitable consultants.
• Reduces time for evaluation of proposals.
• Reduces the chances for extraneous influences.
Pre-Qualification of Consultants
In addition to, the client formations may also seek their Expression of
Interest (EOI) from the following:
▪ Firms which have previously satisfactorily performed similar services for
the client on a similar project.
▪ Firms having already applied to the client and communicated their EOI
prior to issuance of public notification.
▪ Firms which have been involved in an earlier activity on the project e.g.
feasibility studies before services are to be procured for detailed design
and other activities that follow.
▪ Firms selected on the basis of data on consultants obtained from the
PEC’s Data base.
Evaluation Criteria
▪ There are two essential elements for judging the capability of any
firm to perform credibly on a given project.
▪ These are its previous experience on similar projects and its professional
staff having the specific expertise to meet its obligations during the
assignment.
▪ It is essential that appropriate importance / weightage is assigned to
each item.
▪ It is recommended that it should be assigned in the following ratio:− Experience of the firm
30 percent points
− Quality of its Personnel’s expertise
70 percent points
Evaluation criteria
▪ The committee constituted to compile the shortlist should also decide
about the threshold minimum score for the firms below which limit
they would not be considered for prequalification and inclusion in
the shortlist.
▪ The threshold should be fixed at minimum of 60% of the total points.
THANK YOU!
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