Tender Technical Specification and its Contents...

Tender Technical Specification and its Contents Tender documents are prepared for the purpose of procuring materials, production unit, services, or site activities. They are used for calling the bids. A tender document (Fig 1) usually consists of three parts, namely (i) notice inviting tender, (ii) commercial specification, and (iii) technical specification. Fig 1 Components of tender document Technical specification is that part of the tender documents which provides to the bidder technical details of the materials, plant and equipment, services, or site activities which the bidder is to supply if he becomes a successful bidder. In case a plant unit is to be procured, then the technical specification is very complex since all the four types of procurements get combined into one specification. Technical specification becomes contract technical specification after incorporating the changes agreed with the bidder during the tender negotiations. The technical specification is the most important section of the tender document, both for the purchasing organization as well as for the bidders, since it is the specification which sets out precisely what characteristics are required from the materials, plant and equipment, services, or site activities being sought by the purchasing organization. Technical specification is a comprehensive document which clearly, accurately and completely describes in detail what the purchasing organization wants successful bidder to supply. A clear, accurate and complete specification is the foundation of any purchase, and ensures the best chance of getting what the purchasing organization wants. Whether the purchase is for a small simple item, or a large complex plant, or the activities to be performed at the construction site, the technical specification needs to clearly outline the requirements to the bidder. Technical specification has five mandatory requirements mainly (i) title of the specification, (ii) scope, (iii) statement of requirements, (iv) requirement for...

Steel Project and Phases in its life cycle...

Steel Project and Phases in its life cycle Steel project consists of activities through which a steel plant is conceptualize, designed, constructed and handed over for operation for the production of steel products. Steel project being a large scale in nature requires considerable time period as well as funds for its execution. Further, steel project is normally driven by the triple constraints which represent the balance of time, resources (human and otherwise), and technical performance (quality). Every steel project is unique in nature. This is because one steel project differs from other steel project with respect to its composition and the nature of the triple constraints. Also, steel project does not involve repetitive processes which are very common with the operation of the steel plant. Time scale of a steel project is well defined and it has a clear specified start and end date within which the project is to be completed and handed over for its operations. Steel project has an approved budget and the project is required to be completed within the allocated level of financial resources. Other resources needed for the project execution such as equipment and materials as well as human resources are also usually limited. Steel project also involves an element of risk. It has to overcome several uncertainties as it moves forward during its execution. Many of these uncertainties are caused by external factors and cannot be foreseen. The uncertainties generally result into disruption in the process of project planning as well as in the execution of the project. Every steel project has a life cycle. It starts with the initiation of the project and ends with the handing over of the plant for operation. There are some of the project activities, which extend beyond the handing over...

Project Management in for a Steel Project...

Project Management in for a Steel Project Project consists of a group of tasks, performed in a definable time period, in order to meet a specific set of objectives. It is a temporary activity. It is a one-time program hence different from operations where tasks are repeated in a routine way. Every project has a life cycle, with a specific start and end. The work scope of a project can be categorized into definable tasks. Project has a budget within which it is required to be completed. During the execution of the project, there is likely requirement of multiple resources. Many of these resources can be scarce and may have to be shared with others. Steel project like any other project has a life cycle (Fig 1) which includes (i) initiation, (ii) planning, (iii) execution, (iv) monitoring and control, (v) commissioning and handing over, and (vi) closing of the project activities. Fig 1 Project life cycle Steel project has four components namely (i) performance, (ii) cost, (iii) time, and (iv) scope. All these four components are interrelated and dependent on each other. Performance is the quality of the work being done. Cost is the expenditure made on the project work and is directly related to the human and physical resources applied. Time is the schedule which is required to be met for completing the work. Scope is the magnitude of the work to be performed. One of the key ingredients for successful project management in a steel project is having the right people on the job and managing them appropriately. Both of the two elements ‘having the right people’ and ‘managing people appropriately’ are important for the project success. However, in practice both conditions are frequently violated. There are several groups of activities in...