Table of Contents

  1. General
  2. Enquiry Evaluation
  3. Proposal Preparation
  4. Contract Evaluation
  5. Resolution of Differences
  6. Amendment to Contract
  7. Records
  8. References
1. General

This section is to establish methods and procedures for the review of client's invitation to bid and/or contract requirements.

Guidelines are established for the coordination of communications/information/ documentation relating to client contracts/order confir­mations/technical information between:

  • Client
  • Sales Department
  • Contract Department
  • Project Department
  • Technical Operations
  • Procurement Department
  • Construction Department
  • QA Department
  • Finance/Accounting Department

Contract review is an evaluation of client's instructions, requirements, standards and other contract documents on two distinct occasions.

The first occasion is at the time of a potential client's invitation to Company to quote for a project or task (enquiry evaluation).

The second occasion is after award of a contract to Company (contract evaluation).

2. Enquiry Evaluation

Once an enquiry or invitation to bid (ITB) is received it shall be registered by the Sales Department.

The ITB document or package shall be reviewed with the assistance of appropriate procedures and guides by:

  • the Legal Department
  • the Sales Department for commercial and contractual bid re­quirements
  • the Finance and Accounting Department for bond requirements, financial terms and conditions, and the like.

Evaluation covers but is not limited to:

  • contract terms
  • specifications/design criteria
  • preliminary information
  • technical and financial aspects
  • special quality assurance, inspection and safety requirements
  • limitations
  • risk evaluation
  • manpower loading
  • schedule
  • insurance

If the client's requirements are unclear or ambiguous the Sales Manager shall immediately have the requirements clarified with the client in writing.

Further evaluation of the enquiry may include:

  • obtaining advice from other departments
  • communication with other principal Company offices
  • communication with the potential client

3. Proposal Preparation

The review of the ITB and the preparation of the proposal shall be coordinated by the Manager of Proposals. The Executive Management shall nominate a proposal team consisting of the Sales Manager representative that shall be responsible for the commercial aspects and a Proposal Manager for the technical aspects. Both individuals shall be assisted by relevant Company personnel.

The Proposal Manager may call for a strategy meeting and/or proposal kick-off meeting.

The Proposal Team shall review, with the assistance of appropriate procedures and guides, the client's requirements.

From the information derived, the proposal shall be prepared (ref.8.8.1).

Upon completion of the proposal, the Proposal Manager shall call for a review meeting. All technical and commercial proposal data will be checked/verified with all personnel that contributed to the proposal.

The proposal shall clearly submit all deviations and alternatives to the client/regulatory body requirements for acceptance.

The Executive Management shall review and approve the proposal to ensure that the requirements are adequately defined and documented before it is submitted to the client by the Sales Manager (ref.8.8.1).

4. Contract Evaluation

At contract award, a notice of award shall be issued by the Sales Department and a contract number shall be allocated.

Depending on the size and the complexity of the project, a task force is normally established headed by a Project Manager or Project Director.

The Project Manager assisted by the Sales Department and/or the Legal Department, shall evaluate the contract documents to determine that the awarded contract conforms to Company's agreed proposals and to ensure, with the aid of procedures and standards, that all necessary aspects have been clearly specified (ref.8.8.1).

5. Resolution of Differences

If client's contract requirements are still unclear, ambiguous or differ from Company’s proposal and/or the appropriate regulatory body then they shall be resolved by the Project Manager with the assis­tance of the Sales Manager and the appropriate specialists of other departments before the contract details are fully accepted by Company.

6. Amendment to Contract

Amendments of contracts are handled in accordance with ref.8.8.1. Appropriate Sales Order forms will be issued to describe and authorize the amendment internally.

7. Records

Proposal and contractual (related) records are maintained in accordance with section 21, attachment 2 of this manual.

8. References

 

Document Number

Title

Level

 

CM-MA-700

Preparation of Proposals and Administration of Contract Documents

2