Selection of construction equipment

A successful proposal involves the management to be given to construction crews.

As with all activities in a bid to find the costs of resources such as team building, help is essential background information. Therefore, the first thing to do is visit the “Tender Information Centre” (CIL) of the entity. There will be something very precious: the names and specific data on the “Dealers”, the distribution companies of construction equipment. Then, you need to go to work packages developed by each of the members of the team, which form the basis for scheduling the tasks of the proposal. Each estimator should have clearly defined the activities of their respective expertise, and resources that each requires for its proper implementation, including construction crews.

But nevertheless, in the specific case of the earth moving work, present in varying degrees in all the work of engineering, it is important to know the size and nature of the terrain to adapt. With this information you can know fairly accurately what the performance of each team and, incidentally, the utilization time of these, such as bulldozers, tractors, motor graders and more. Next, the box of equipment, including, if applicable, trucks and scrapers for horizontal transport and vertical transport cranes should be developed. And of course, the amounts of each. The next step is to send the information to the “Dealers” in order for them to prepare their proposal.

So far there is nothing new, it is standard procedure that applies in such cases. But now, it is something interesting that can define a tender. There are three possible alternatives when it comes to using construction equipment bound for a work: that is owned, leased, or leasing. Its correct selection may be the factor that allows you to top the bid. It is so expensive in this type of projects, any decision either way can mean large amounts will definitely make the difference between the two proposed lines.

In appearance, it may be best to use the equipment owned by the company and quote this line prices low or zero times. Obviously, this approach can lead to a low price with high chances of winning the bid, but contains several drawbacks. One is that profits will be lower because the cost of operating the equipment will have to cover the contractor. Additionally, you may run liquidity, resources are reduced, the displacement is expensive and you have to cover the amounts for warehousing, maintenance and repair. This, regardless of the implicit cost of obsolescence. But, also, there are positive aspects, complete control of the equipment, tax-deductible costs and high familiarity. Moreover, studies suggest using this possibility when the use of the equipment is above 70% of the activities time.

Now, in the case of use of rental equipment they have advantages of flexibility, pay only for actual use, no involvement by way of travel, use of new models and low financial effort. But, also, it is more expensive and may affect the budget. It has been found that for contracts of more than three months can be costly. Also, you should consider whether it is hired for days, weeks or months.

Finally, there is the widely used figure of leasing. It is more expensive when compared with purchased equipment and hired who must answer for the damage or loss. You pay monthly although the team does not work, interest rates are higher and the penalty for breaking the contract is high. But it is a good choice when funds are limited and the team works less than 60% of the time. In addition, obsolescence is avoided, no advance payments and new models can be selected.

We can see well, although in a very general way, that the selection of construction equipment bound budget for a tender, contains a number of subtleties that cannot be ignored and, instead, deserve a serious, deep and careful study.

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