Modeling bidding competitiveness and position performance in multi-attribute construction auctions

Ballesteros-Pérez, P., del Campo-Hitschfeld, M. L., Mora-Melià, D. and Domínguez, D. (2015) Modeling bidding competitiveness and position performance in multi-attribute construction auctions. Operations Research Perspectives, 2. pp. 24-35. ISSN 2214-7160 doi: 10.1016/j.orp.2015.02.001

Abstract/Summary

Currently, multi-attribute auctions are becoming widespread awarding mechanisms for contracts in construction, and in these auctions, criteria other than price are taken into account for ranking bidder proposals. Therefore, being the lowest-price bidder is no longer a guarantee of being awarded, thus increasing the importance of measuring any bidder’s performance when not only the first position (lowest price) matters. Modeling position performance allows a tender manager to calculate the probability curves related to the more likely positions to be occupied by any bidder who enters a competitive auction irrespective of the actual number of future participating bidders. This paper details a practical methodology based on simple statistical calculations for modeling the performance of a single bidder or a group of bidders, constituting a useful resource for analyzing one’s own success while benchmarking potential bidding competitors.

Item Type	Article
URI	https://reading-clone.eprints-hosting.org/id/eprint/51062
Item Type	Article
Refereed	Yes
Divisions	No Reading authors. Back catalogue items Science > School of the Built Environment
Publisher	Elsevier
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