Appraisal of factors affecting bidding decisions in Nigeria

Abstract

The usual practice in selecting a contractor for a project is through competitive bidding. The decision to bid is a complex activity that requires the consideration of several factors. These factors can be related to capability, time requirement and cost implication. The purpose of this study was to assess the factors related to time and cost performance with a view to examine their effect on bidding decisions. Data was obtained through the use of structured questionnaires from construction professionals in both consulting and contracting firms. The collected data was analysed through percentile and mean ranking. The study revealed the reputation of the client as the most prominent factor related to time performance that affects bidding decisions, while location and condition of the site were identified as the most significant factor related to cost performance that affects bidding decisions. Thus, it is recommended that contractors when taking bidding decisions should place priority on the reputation of the client, the location, and the condition of the site.

Keywords:

• Bidding decision
• construction industry
• cost performance
• effect
• time performance

Disclosure statement

No potential conflict of interest was reported by the authors.