Post –by Gautam Shah
In a Design Practice, one of the important segments of work is, Job award process. Job award process results into a contractual award for the execution of a project. Contractual assignment of a job is nominally a privilege of the client. Designers, however, have a selfish interest in proper execution of their projects, and so may not let a client act independently. Designers, more often than not, make their participation mandatory in the contractual award for the execution of a project. This is done by the Designer through the Contract or Memorandum of Understanding (MoU) with the Client.
● Small clients realize their limitations, so do not bother to execute their jobs through a formal contract with a vendor or contractor, and allow the Designer to manage the execution.
● On the other hand, clients representing public organizations, have to operate in a transparent (responsible) and a democratic manner, so prefer the participation of the Designer in conduction of contract procedures.
● Large projects require setting of exact terms and conditions to avoid later litigation, so contractual assignment for execution is a must.
● Government departments and Public organizations conduct the execution assignment procedures by themselves, as they have the requisite experience, and have to follow many routines and regulations.
Jobs are awarded for: not just executions of projects but also for supply of goods and components, turn key installations, services, labour, installation and erection facilities, transportation, material handling, repairs, maintenance, housekeeping, security, management, estimating, billing, accounting, supervision, purchase, sale, disposal, performance evaluation, etc.
Jobs can be awarded to any competent person, or a group of persons formally organized as partnerships concern, joint stock company, corporation, cooperative, or a consortium. Depending on the nature of client and size of work, a job contract may be awarded by personal favour, through restricted bids, open invitations, or direct assignment or mandate. Complex job contracts are awarded by evaluation of bids leading to elimination, by mutual negotiations, and by open bidding, or auction.
☐ A job-award could be a single quotation for the total work, or several rates related to components or tasks (item-wise). The single quotation work contract could be fully or partially based, on conditions set by the client, or as improvised offers devised by the contractor.
☐ A job award could be very specific, serving only one project, or item-wise rates applicable to several projects, limited in time or locality, usually both.
☐ Job awards are always time bound, automatically becoming dysfunctional on expiry of a period or getting updated per some formulae. A job award could be a contingency contract, for remaining prepared to handle tasks or provide materials, components, systems for a situation that may or may not occur.
☐ Job award could be a build-operate-transfer contract (BOT), where the contractor is not paid any thing, but operates the project and recovers the investments.
• Job awards generally present a scheme of putting together a project through specifications of materials, methods and means. This traditional method fails to register the individual deficiencies, in projects involving many contractors or vendors. The customary method operates well for known technologies, but is not suitable for incorporating emergent technologies.
• Jobs, however, if specified through only their performance requirements of the project, allow the contractor and vendors to offer newer and often economic options. Greater technical thought is required in planning a scheme of through performance specifications.