Challenges in Conducting Strategic Decisions in Tendering among Contractors in Malaysia.

Abstract

Abstract Malaysia’s construction industry is rapidly growing from time to time. The bidding decision of construction projects is a very complex decision-making process which affected by several factors. Usually, to obtain good quality, cost, time, and safety is the primary goal of the construction project, which the contractors will compete in the tendering process to get a project, and most of the construction work in Malaysia was awarded based on competitive tendering. With the limited information and time, the contractor has to decide whether to tender or vice versa. The paper aims to explore the challenges in conducting strategic decisions in tendering among contractors in Malaysia. A set of questionnaires are used to collect the data for the study. The sampling method used in this study was random sampling and quota sampling. The study only focuses on the contractors in Klang Valley as Klang valley is known as the heartland of Malaysia’s industry and commerce. The data was gathered and analysed by using SPSS. The result of this study was in the form of ranking with the mean value as the ranking indicator. As a result of the questionnaire, most respondents agree that the biggest Challenges in conducting strategic decisions in tendering are the need of the contractor to win a project. The contractor must have sufficient data in deciding to tender. Adequate information regarding the project is vital as it acts as a reference for an estimator to estimate the project cost. Estimating is a critical factor that influences the contractor’s success in the tendering and ensures that the contractor can do the work diligently as stated in the contract.