As a commercial general contractor in the Bay Area, Gidel & Kocal offers a variety of pre-construction services for our clients. We manage all vendors and subcontractors on construction sites, always handling the responsibility of finishing each project within the agreed-upon timeline and in a professional manner. Before the actual labor and construction can begin, however, several steps need to take place. One of these is construction bid management, a crucial and integral component of ensuring that the construction project goes to the right subcontractors.
What is Commercial Construction Bid Management?
The process of bid management in commercial construction is a multifaceted endeavor that involves working with businesses to ensure they choose the right team for their commercial construction project. As commercial general contractors, we put projects out to bid, qualify the bids, and eventually choose the right subcontractors for the project based on the bids received. This is a rather simplified version of what the entire process entails, but it is useful to have a general understanding prior to digging into the details.
Steps Involved in Construction Bidding
Commercial general construction contractors like Gidel & Kocal typically segment the construction bidding and overall construction bid management process into 5 steps:
- Bid Solicitation. During this part of the bid management process, the general contractor will issue a Request for Proposal (RFP). Usually, they will solicit three subcontractor bids per trade. Gidel & Kocal’s extensive experience in the field has resulted in valuable connections and a well-established subcontractor base to accommodate a wide variety of construction needs. Whether the project is large or small, basic or complex, the right people are selected for the job.
- Bid Submission. Once the bid solicitation has been sent out, the next step to manage is bid submission. Subcontractors who are interested in being considered for the job will submit relevant documentation regarding projected project timelines, costs, and additional information about their ability to complete the work. One of the major benefits of working with Gidel & Kocal in construction bid management is that we come equipped with strong relationships we have cultivated over the years. This allows us to negotiate more effectively and only offer bids to those who qualify.
- Bid Selection. After the project manager reviews all proposals, they will choose a bid that meets their criteria in each trade. Considerations include price, timeline, project experience, safety records, construction scheduling, and several other factors.
- Contract Development. Upon selecting the most suitable subcontractors for the job, the next step is to draft the contract. Various types of commercial construction contracts exist, including fixed-price, time and materials, labor costs, etc. Bid management includes negotiating these terms and settling on the best terms for all parties based on the project scope.
- Project Delivery. Only once all terms and conditions have been agreed upon can the actual labor commence. This is the case for the work of both commercial general construction contractors as well as their own subcontractors. While project delivery is not necessarily a part of the construction bidding process, it is the liaising step between bidding and project completion.
Only the most skilled, experienced, and well-connected commercial general contractors will have the ability to handle effective bid management in and around the Bay Area. That’s where Gidel & Kocal comes in. In addition to bid management, we also handle a series of other pre-construction elements including early budgeting, design development, value engineering, constructability reviews, conceptual scheduling, cost estimation, plan reviews, existing facility analysis, and more. Learn more about our approach to construction bid management when you contact us today.
