All successful construction businesses have one thing in common — they have a strong system for winning contracts. This sounds simple enough on paper, but there’s a lot of work happening behind the scenes to ensure a business can put its best foot forward when bidding on a tender and ultimately winning a contract.

For starters, did you know that construction clients are more selective than ever when subcontracting materials and labour to suppliers? Much of this boils down to risk management.

For example, construction firms can reduce the risk of poor quality builds requiring re-work or remedial work proper quality management and assurance. This measure can save the industry between £7 billion and £12 billion, according to the Chartered Quality Institute (CQI). This focus on quality extends to their subcontractors, who are expected to have protocols for reducing and preventing sub-standard delivery.

But knowing what construction clients need is one thing — bidding on tenders is another. Here’s how your business can position itself to deliver winning bids in the construction industry.

1. Seek Accreditation

Construction clients want to work with subcontractors who represent a low risk to their supply chain. Accreditation schemes like the Common Assessment Standard are the best way to increase client confidence in your products and services.

As the elite standard of accreditation in the construction industry, the Common Assessment Standard consolidates risk assessments in 13 areas of risk management. This enables you to demonstrate your compliance with guidance on:

  • Quality management
  • Health and safety
  • Corporate and professional standing
  • Modern slavery
  • Corporate social responsibility
  • Insurance
  • Finances and more.

2. Work Quickly to Get Bids in Early

Another benefit of gaining accreditation is that it allows you to get all your ducks in a row and quickly submit tenders. While contracts don’t use a first-come, first-served basis, an attractive bid submitted sooner than later can leave a good impression on a client. The sooner you express in a contract, the sooner you can start developing a high-quality bid and produce your best work.

Some accreditation providers offer the benefit of including your business in a database of contractors that clients can search if they need to work with an accredited business in a city or location.

3. Take a Surgical Approach When Looking for Tenders

Going after contracts is about quality, not quantity. Taking a shotgun approach to tendering often leads to missing specific details in a contract — details that may ultimately make you a poor fit for the contract.

We recommend looking for more targeted bid opportunities, focusing on contracts that play to your strengths or those you have a good chance of winning.

4. Highlight Your Strengths

Before you even start writing your tender response, we recommend writing down your business’s value proposition. It helps first to nail down your answers to these questions:

  • What does your business do?
  • What do you do better than your competitors?
  • How do your products and services offer value for money?
  • Do you have a strong record of doing successful work?

While details such as costs and the project duration are important, construction clients ultimately want to know the core benefit of including your business in their supply chain network.

5. Request Feedback

After submitting your tender bid to a client or contracting authority, they will review it against their financial and quality criteria and other competing tenders. Whatever the outcome of this process, always ask for feedback.

Any input you receive can be used as continuous improvement, shedding light on why your tender was lost to other businesses. The contracting authority may have a scorecard of your tender response, allowing you to identify your strengths and areas for improvement.

Alex Minett

Alex Minett is the Head of Product & Markets at CHAS, the UK’s leading health and safety assessment scheme and provider of risk mitigation, compliance, and supply chain management services. With a working history in the audit and management consulting industry, Alex is experienced in implementing visions and strategies. Skilled in negotiation, management, and business development, he is passionate about driving CHAS in its mission to safeguard organisations from risk in the UK.

 

LinkedIn: https://www.linkedin.com/in/alex-minett-hd2018/