We are currently experiencing a sudden
surge in quality assurance (QA) systems
in New Zealand. This is somewhat hard
to fathom as the traditional kiwi attitude
has been “she’ll be right”
and “if it ain’t broke, don’t
fix it”. And, of course the traditional
“binder twine and # 8 wire”
mentality.
Nine Methods Of
Tendering
Using
a combination of several of
the following methods, it
is possible to gain extreme
accuracy - perhaps within
2% of what the Principal expects.
Time,
tonnes and kilometres (most
primitive method)
Contractors
Blue Book
Competitive
Pricing (CCP)
Weighted
attributed
Brook’s
Law – two envelope method
Target
pricing range
Transit
NZ pre-qualification
Contingent
sum
Liquidated
damages
Having your business monitored for quality assurance
standards will not only 99% bullet proof you from OSH
but will also provide you with tangible business growth
and profit benefits.
We can easily give examples of companies that have
benefited from the adoption of quality assurance accreditation
and certification.
High quality systems can substantially
reduce your wastage and improve company profits by up
to 15%. Quality assurance can help you get business
that you cannot otherwise get without certification.
Most Local Governments and Government Departments and
major Corporations now require quality assurance for
civil works, and purchase of services.
Profit Margins Allocated
For Quality Assurance
This is the hottest topic of all. How
could there possibly be a profit margin
for quality assurance? You might well
say “this simply cannot be the case!
You are lying! Don’t be so foolish,
there is no more profit than 5% in our
work, don’t tell me otherwise as
I cannot believe you”. We are now
going to tell you that we are sorry but
you simply do not understand. We will
further tell you that the margins can
be 5%, 10%, 20% or even 50% depending
on the critical nature of the work. Since
you do not want to hear any of that, we
will need to explain how this money is
actually paid out.
Preferred Supplier
Status
Why is it important? Firstly, it is not
commonly known and even less understood.
It is a status given to a small number
of suppliers to large organizations in
Government, Local Government and the private
sector. Secondly, the average business
does not believe in preferred supplier
status because they have “their
own market” and “their own
customers”. They “fly on the
seat of their pants” continuing
to do what they have done for several
years, without wondering if they might
be able to do it better.
