You are required to place subcontracts for the Mechanical and Electrical works in accordance with the provisions of the Bills of Quantities. Your Director instructs you to seek new bids for the M&E work and to select a company to perform the work on site. Write a short report focusing on the following three issues taking into account the current on site problems faced by Ellison Construction Company.
a) Critically evaluate the range of procurement options available to the company and make recommendations to your Director as to the most appropriate procurement strategy to adopt. Clearly state all assumptions made.
b) Develop a tender evaluation strategy / model to apply to the submitted tenders (via the chosen procurement route recommended in part (a) above which takes into account all relevant issues relating to subcontracting in general and the specific on site issues). Your Director insists that you fully justify your evaluation technique by supporting your report with references from the module, relevant literature and your own personal experience as appropriate.
c) Due to the economic recession, sub-contractor insolvency is on the increase, your director asks you to prepare a report making recommendations about what Ellison Construction can do to protect them to avoid the sub-contractor insolvency and against delay and cost involved if the sub-contractor fails.

TASK 2

Due to the site problems outlined above, your Director is concerned about the disputes that are likely to occur. With reference to appropriate literature you are required to recommend a ‘Dispute Resolution Strategy’ which Ellison Construction should adopt to encourage the continuation of good working relationships between the parties to the Warehouse Lane Mews project. Your report should reflect upon the Form of Contract and sound principles of dispute avoidance.