Developing More Competitive Proposals: Relationship between Contractor Qualifications-Based Proposal Content and Owner Evaluation Scores

Abstract

Construction contractors have historically been procured through price-driven methods. Yet the increased use of alternate project delivery methods, along with owner-perceived concerns over construction performance, has led many owners to introduce qualifications-based selection criteria into their procurement systems. As a result, construction contractors are tasked with preparation of qualifications-based proposal submittals ever more frequently. Contractors must therefore develop strategies to consistently differentiate their qualifications from those of their their competitors, which can lead to more favorable owner evaluation scores and ultimately improve their hit rate. This paper performed a content analysis of 71 contractor proposals containing both successful and unsuccessful bids. Regression results indicate that contractor project management proposals receive more favorable owner evaluation scores when contractor-controlled, design-related, and concealed conditions content are emphasized. Regression results show that contractor scope alternate proposals are encouraged to provide a comprehensive review of potential scope options to enhance the project and ensure the associated cost and schedule impacts are clearly defined.