The Chartered Institute of Purchasing and Supply (CIPS) recently found that construction contracts have fallen for the first time in nine months from 51.8 index to 49.1 during December 2010. The reason behind this is being associated with the recent adverse weather conditions. There was a sharp decrease in employment and confidence in future business ventures with a low availability of construction tender contracts or contract tenders.
All construction sectors have seen a drop in activity including residential construction, civil engineering and house building. However, commercial activity remained strong during December and was the only sector of the industry to see a rise.
Many businesses within the construction industry now fear that 2011 will see a loss in finances so here are some tips to prevent this from happening as much as possible.
The pre qualification stage of the tender process is an ideal place to make to make efficiency savings, and the easiest way to do this is by becoming a member of a pre qualification scheme. This will mean you only need to fill out one pre-qualification questionnaire that will be held on a database for all the buyers who are also registered on the scheme to access as and when they have work opportunities or have frameworks up for renewal.
A good pre-qualification scheme will also have an Opportunities Notice Board/Construction Contract Notice Board where procurers registered with the scheme can post their construction contracts. You will then be able to sign up to be notified when new contracts match your categories of work and the locations you operate in. Trawling through numerous sites looking for contracts to bid on can be time consuming and involves sifting through vast amounts of data, therefore an Opportunities Notice Board is a great way to reclaim wasted time and allow you to get on with the contracts you have already won..
Some pre-qualification schemes also hold "Meet the Buyer" events where you can meet face-to-face with key procurers in your local area. This allows you to present your business to potential new clients and find out about any upcoming contract tenders and how you can go about applying.
Moreover, signing up to these online databases, known as pre qualification schemes, will boost your visibility in the industry, help you stand out from your competitors and re-assure Buyers that you are competent to carry out work for them.
Joining a pre-qualification scheme is usually has a relatively low yearly membership fee, in relation to the amount of time and money it could save your organisation. Be sure to look out for schemes that allow you to choose multiple work categories and include access to a tender notice board at no extra cost.