STUDY OF STRATEGY AUCTION AT GOVERMENTS PROJECT FOR IMPROVE THE COMPETITIVENESS OF SMALL CONTRACTORS AT BANDUNG RAYA REGION

The growth of small contractors in Bandung Raya Region has a significant growth rate. This causes tight competition at the small contractor level, forcing them to increase their competitiveness. To increase competitiveness, small contractors take part in open auctions for construction projects at LP...

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Bibliographic Details
Main Author: Alif Hamzah, Gea
Format: Theses
Language:Indonesia
Subjects:
Online Access:https://digilib.itb.ac.id/gdl/view/79223
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Institution: Institut Teknologi Bandung
Language: Indonesia
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Summary:The growth of small contractors in Bandung Raya Region has a significant growth rate. This causes tight competition at the small contractor level, forcing them to increase their competitiveness. To increase competitiveness, small contractors take part in open auctions for construction projects at LPSE. Small contractors can only provide construction services in market segments that have low risk, simple technology and low costs, but before participating in an auction at LPSE in order to compete, small contractors must have capital as a supporting factor in successfully winning the auction. Apart from that, it is necessary to identify the dominant factors of failure to anticipate failure during the process of preparing auction documents and determine the best price bidding strategy in order to become the lowest bidder. Based on previous research, there are five main factors that support success: Price Offering, Staff & Experts, Finance & Assets, External Relations and Government Regulations. Of the five main factors, they were analyzed using the Analytical Hierarchy Process (AHP) and concluded that Staff & Experts were the most influential supporting factors with an eigenvector of 35.8%. There is a more specific analysis of the sub-factors that support auction success. Of the 21 factors analyzed using the Relative Importance Index (RII), it was found that the experienced auction team and estimator sub-factors had the highest scores with values of 0.967 and 0.950. On the other hand, the process when preparing tender documents is the most important thing. Because the conditions for winning an auction are fulfilling all the requirements of the auction documents and providing the lowest bid. After identifying 570 construction work packages in the 2020-2023 period at LPSE Bandung Raya and conducting a quantitative analysis of the factors causing auction failure, it was found that the requirements for Core Personnel and Tools/Material Support Letters were the dominant factors causing participants to fail in the auction with a percentage of 20.76% and 19.57%. Apart from that, in the price bidding strategy using the Friedman, Gates and Ackoff & Sasieni methods and analyzed using Multi Discrete Distribution (MDD), Multi Normal Distribution (MDN) and Single Normal Distribution (SDN), it was concluded that the Friedman method which was analyzed was Multi Discrete Distribution (MDD). ) is the most optimal with an optimum mark up amount of