Download PDFOpen PDF in browserDo Greater Qualifications Imply Higher Bid Costs?10 pages•Published: May 26, 2024AbstractThis study examines the conventional assumption that higher qualifications in A/E consultants or contractors correspond to higher bid costs in the procurement process in construction. By analyzing data from 327 projects across the United States and Canada, encompassing architectural/engineering design and construction projects, including both design-bid-build and alternative delivery methods, the research focused on bid costs and three key qualification-based evaluation criteria: technical proposals, past performance, and interviews. Contrary to common perceptions, the findings, assessed using Spearman's rank correlation and frequency analysis, revealed no significant correlation between higher qualifications and higher bid costs. This finding carries implications for project owners, contractors, and policymakers, suggesting a reconsideration of the emphasis on bid costs alone in the selection process. The study advocates a more detailed approach, considering qualifications alongside bid costs for enhanced project outcomes and collaboration in the construction industry.Keyphrases: alternative project delivery, best value, bid cost, procurement, qualification based selection In: Tom Leathem, Wes Collins and Anthony Perrenoud (editors). Proceedings of 60th Annual Associated Schools of Construction International Conference, vol 5, pages 621-630.
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