Tender Contract Programmes Technical Sheet

May 9, 2023 | Technical Sheets

What are they?
When a project is being tendered, a contractor (and typically, in turn, its subcontractors) are frequently required to produce a programme as part of its tender
submission indicating the proposed timing, sequence and duration of its works. The programme can vary in complexity depending upon matters such as the scale
of the project and the requirements of the contract. They can vary from simple bar charts to highly specialised programmes containing such matters as logic linkage,
resource loading, and critical path identification.

Should the tender be successful the tender programme may become, or form the basis of, the programme used at the outset of the installation works.

When do you need them?
The tender documents will identify if the Employer requires a programme within the tender submission. Nowadays, Employers place more reliance on programmes
and place specific requirements in respect of their presentation and format. A reliable, well presented and justifiable programme will form an essential part of
the tender bid and contribute towards its overall success. There would be little point engaging a contractor if it is unable to justify its proposed sequence of works.

If the tender is successful the contractor would typically produce a programme that could be used at the outset of a project as the basis for planning and monitoring the
sequence of installation. The tender programme frequently becomes, or forms the basis of, such a programme, amended as necessary to produce a reliable, workable
and up to date programme.

Why do you need them?
At its simplest, you may require one because the tender documents stipulate that one is required. However any prudent contractor would produce one to establish
how it would undertake its works as well as giving it a better opportunity to understand such matters as the specific timing and sequencing of operations (both
on site and off site), site constraints, resources required and when etc. These can all play a major part in the level of pricing required to satisfy the demands of the project.

The contract may also require that the contractor has a programme to work from, typically one that has been reviewed and approved by the Employer. Contracts such
as the ECC require programmes to be produced in a certain format, containing specified levels of information for example:
• Starting Dates, Access Dates, Key Dates and Completion Dates.
• Planned Completion.
• The order and timing of the operations of the Contractor and also the Employer and Others.
• Provisions for float, time risk allowances, health and safety requirements, contract procedures.

Such programmes under the ECC are referred to as Accepted Programmes. They have contractual status and are central to the subsequent planning, progress
monitoring and change management of the project.

The failure to comply with the provisions of the ECC (or other contract) may seriously affect the effective management of the project. For example, if a programme is not
submitted as required money can be retained by the Employer until the programme is submitted. The programme also forms the basis of progress monitoring and allows
the effects of change to be incorporated. It can therefore be used as a decision making tool to establish how works can proceed should change be required and also
to forecast the effects of such change. Without a reliable programme at the outset, subsequent planning activities become far less reliable and effective.

How do we prepare them?
MBM has considerable experience preparing tender programmes for contractors and subcontractors. Our initial approach is to understand the specific requirements of
the tender instructions and the contract requirements contained within the tender documents. This will establish the level of complexity required for the programme at
this stage.

Once this is understood, MBM will review the contract documents, particularly the drawings, specifications and preliminaries to understand the nature of the project,
its location, size and complexity and any specific constraints imposed either by the employer or other authorities as to the timing and sequence of operations. For
example there may be restrictions on noisy work between certain hours which need to be factored in.

Once we understand the project we may undertake a site visit to review the surrounding environment to consider any other issues which may not be apparent
from the documentation. Once we have gathered all relevant information, we will discuss proposed installation methodology with our Client to consider the various
options by which the works can be installed. When an approach to installation is agreed we will draft a programme which accords with the employer’s timescales,
contractual requirements and efficient and logical construction sequencing. This can then be discussed and agreed with our client prior to incorporation into any tender
bid or for submission as a baseline programme at the start of a project.

MBM’s primary concern is to ensure that the programme is reliable and capable of use as an effective management tool for identifying and monitoring the progress of
installation, once on site.

What value do they bring to our Clients?
Tender programmes are of significant value to clients.

They:
• Form a central part of any successful tender bid.
• Demonstrate credibility to an employer that a contractor understands the nature of the project, is capable of effective project delivery and is adequately prepared in terms of the resources required to install the works.
• Demonstrate proficiency and contractual understanding, giving an employer confidence that he has a capable and professional contractor constructing his project.
• Form the basis of a baseline construction programme for use once construction starts.
• Provide an effective tool to allow the subsequent installation and monitoring of progress on site.
• Provide a means by which subcontractors’ installations can be managed.
• Allow the effects of change to be modelled and decisions to be made as a consequence.
• Allow the effects of delaying events (both culpable and non-culpable) to be established.

How much do they cost?
The complexity of the project, contractual requirements and, to some extent, choice of programme software, will determine the overall cost. More importantly however
is the consideration that an effective programme may be a central requirement of any successful tender bid and will contribute to the efficient and effective project
management of the works on site. Failure to plan effectively at the outset may result in unnecessary costs later on.

MBM would carry out an initial review to establish what type of programme is most appropriate for the particular circumstances of the project. MBM always seeks
to act proportionately, preparing documentation commensurate with its intended purpose.

Our successes
Our experience with tender and contract programmes covers many major projects such as:
• Jubilee Line Extension
• Channel Tunnel Rail Link
• Chelsea & Westminster Hospital
• London School of Economics
• City University
• Welcome Trust
• Cadogan Estates
• University of Westminster

Why choose MBM Consulting?
MBM has a wealth of experience preparing tender and baseline programmes. We understand construction processes, scheduling requirements and can utilise various
project management software packages. Our experience has been gained on major projects in the UK and overseas, including Ireland, the Middle East and Canada and
in sectors such as build, rail, utilities and oil working for major contractors and subcontractors.

If you would like to know more, please do not hesitate to contact:
Tim Ellis BSc (Hons) MRICS, ACIArb

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