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Al-Sinaidi, A A (2002) Computation of construction contractor capability, Unpublished PhD Thesis, , Florida Institute of Technology.

  • Type: Thesis
  • Keywords: construction project; owner; analytical hierarchy process
  • ISBN/ISSN:
  • URL: https://www.proquest.com/docview/275746934
  • Abstract:
    Organizations in the private and public sectors face the perpetual challenge of selecting a contractor who offers not only the best price, but is also capable of delivering the promised level of effort. An analytical method called the Capability Index method is developed that determines the overall capability of a contractor for a construction project by calculating the contractor's Capability Index (C. I). In this method, the C. I. is calculated as follows: (1) the ratio of contractors price to total bid, Rij, is calculated for each major type of work (MTW), (2) the Rij values are used to calculate an Average Priority for each contractor making use of the Analytical Hierarchy Process (AHP) for both low and high prices, (3) the C. I. , for each contractor, is calculated as the difference of Average Priority for high and low prices. The C. I. values range between −1 (best) and +1 (worst). The C. I. method was validated for projects where contractors submitted normal bids and also for projects where contractors were allowed to give unusual bids. For the four test projects with normal bids, the rankings of three experts were compared with rankings provided by the C. I. method. The regression values for the four projects ranged between 0. 9375 to 0. 9529 indicating strong model validation. Analysis also indicated that the C. I. method produced rankings, to a large extent, were independent of the number of contractors who submitted bids, and also of the number of MTWs specified for a project. The C. I. method was also found to be stable for projects with unusual bids. The major advantage in using the C. I. method is that it provides numerical index values and not just a rank for each contractor allowing an owner to make more meaningful comparisons. The C. I. method also provides rankings when only two contractors submit bids for a project.