Visión

moment the Management Team of BAM Infratechniek Telecom, which consists of the adjunct director, the commercial manager, the manager ‘Engineering, Materials & Lean, and the manager of the project office, the purchasing department & logistics, decides during their weekly meeting on which of the preferred tenders a bid is placed.

Third selection moment Second selection moment

First selection moment

The cost engineer analyses all the available information

for the tender Head of the Project-Office

assigns a cost engineer who is responsible for the first

analysis of the possible tender

An engineer will analyse the available information

for the tender Private

invitation for tender

Site inspection, mapping the area

Available information for

possible tender Preliminary checklist

The head of the Project-Office, the cost-engineer, the engineer and the contractmanager decide if they should put the tender on

the agenda of the weekly meeting of the Management

Team (MT)

The MT of BAM Infratechniek Telecom, consisting of the Adjunct Director, the

Commercial Manager, the Manager Engineering, Materials & Lean and the

Manager Project Office, Purchase & Logistics, decides about the bid/ no bid status and the amount of the bid for the

selected tenders. List of tenders

Final list of tenders with bid/

no bid status

Selection-, Procedural-, Priority-, and Timing

heuristics Selection heuristics Selection-, Procedural-, Priority-, and Timing heuristics Public invitation for tender

Figure 11: Overview of decision making process of business unit ‘BAM Infratechniek Telecom’.

When looking at the two decision making processes it is still unclear on which arguments or on which indicators each organizational level arrives at the bid/ no bid status and, in the case of BAM Wegen Zuidwest, arrives at the priority levels. Next to that it is unclear if also procedures with regard to the execution of the tender and aspects related to the timing of tenders are taken into account.

4.2.2

T

-

To create insights about how the different business cases arrive at their bid/ no bid decision, the decision making process is captured by applying the ‘adaptive toolbox’ concept for the opportunity-capturing heuristics. For the four different types of opportunity-capturing heuristics the three building blocks, the search-, the stopping-, and the decision rules, and the underlying cognitive capacities are described.

4.2.2.1

The three building blocks for the four different types of opportunity-capturing

heuristics

For both the cases ‘BAM Wegen Zuidwest’ and ‘BAM Infratechniek Telecom’ the way how these business units arrive at their bid/ no bid decision is captured by observing which types of opportunity-capture heuristics are used within the decision making process. Each type of opportunity-capture heuristic is further captured by describing the three building blocks, the search-, the stopping-, and the decision rules, and the underlying used cognitive capacities.

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4.2.2.1.1 BAM Wegen Zuidwest

Within this section the way how BAM Wegen Zuidwest arrives at their bid/ no bid decision is described by the identified search-, stopping- and decision rules within the selection-, procedural-, priority- and timing rules. In this section the findings are shortly described, a full description of the search-, stopping- and decision rules can be found in Appendix VI. Based on the identified three building blocks of the heuristics, fast and frugal decision trees are formulated for the four different types of opportunity capturing heuristics which are presented in figure 37 and 38 in Appendix VII.

Selection heuristics

In order to make the decision whether or whether not a bid should be placed on a tender, BAM Wegen Zuidwest searches for six indicators one after the other:

- Location of the tender

First of all there is a search for the location of the tender, more specific there is a search for if the tender is within the prescribed working area of the business unit. This search is stopped when the location of the tender is acquired and is reflected on the boundaries of the working area. When the location of the tender is outside the boundaries of the working area, no bid is placed on the tender. When the location of the tender is within the boundaries of the working area, there will be a search for if the prescribed activities within the tender-documents are in line with the core business activities of BAM Wegen Zuidwest.

- Prescribed activities within the tender-documents

The search for if the activities within the tender are in line with the activities prescribed within the operational plan is stopped when insights are acquired about the prescribed activities within the tender specifications and the core-activities described within the Operational Plan (OP) of BAM Wegen Zuidwest. When the prescribed activities within the tender specifications are in line with the core activities as described within the OP, it will be determined if a private invitation to tender is received from the client. When the prescribed activities within the tender aren’t in line with the core activities as described within the OP, no bid will be placed on the tender.

- Received a private invitation to tender

The search for if a private invitation to tender is received from the client is stopped when it is clear if there was an invitation for tendering. When BAM Wegen Zuidwest has received a private invitation to tender, a bid is placed on the tender. When no private invitation is received, there will be a search for the estimated turnover level of the tender.

- Estimated level of turnover of the tender

The search for the estimated turnover level of the tender is stopped when a perception about this level is acquired based on the kind and amount of required materials, the complexity of the location and turnover levels of similar projects conducted in the past. Next to that there should be a perception about when a turnover level can be categorized as a ‘High’ turnover level. When the tender has a high turnover level, there will be a search for the aspect if it is possible for the business unit to distinguish themselves from the competitors. When the tender has a low turnover level, there will be a search for the aspect if the current cumulative turnover level of the business unit is on or behind of schedule.

- Possibilities to distinguish themselves from the competitors

The search for if there are possibilities for BAM Wegen Zuidwest to distinguish themselves is stopped when perceptions about the opportunities within the contract, the type and number of competitors and the type of contract are acquired. When the contract related to the tender has a ‘Construct Only’ orientation, there are less opportunities within the contract, and there are many competitors, no bid is placed on the tender. When the tender contains many opportunities and there are a few competitors, a bid will be placed for the tender.

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