REVISED PRICE QUALITY METHOD (PQM) …

1 12 January 2018 To: CW01 and CW02 CRS Registered Contractors REVISED PRICE QUALITY METHOD (PQM) framework This circular informs all contractors registered with BCA contractors registration system (CRS) s Construction Workhead (CW) CW01 and CW02 on the REVISED PRICE QUALITY METHOD (PQM) framework for tenders called on and after 31 Jan 2018. 2 In line with the Government s efforts to transform the built environment sector under the Construction Industry Transformation Map (ITM), the REVISED PQM framework aims to recognise Contractors with good performance by placing greater emphasis on QUALITY in public sector construction procurement. Key Changes in the REVISED PQM framework 3 There are four key changes to the PQM framework Increase weightage for QUALITY (Q) component 4 To place greater emphasis on QUALITY , the weightage of QUALITY (Q) component will be increased by 10% for all building projects1 while the weightage of the PRICE component will be reduced accordingly.

2 Please refer to Table 1 for details. Table 1: Range of weightages allowed under PQM for building projects PRICE Productivity QUALITY Maximum PRICE weightage 60 10 30 Minimum PRICE weightage 40 10 50 5 For Civil Engineering (CE) projects2, please refer to Table 2 for details. Table 2: Range of weightages allowed under PQM for CE projects PRICE Productivity QUALITY Maximum PRICE weightage 70 10 20 Minimum PRICE weightage 50 10 40 Introduce minimum 15% weightage under the Q component for past performance 6 To recognise contractors which have provided QUALITY work in past projects, a minimum 15% weightage for past performance under the Q component is introduced. The scoring will be based on the whole-of-government C413 appraisal system or agencies in-house assessment systems.

3 The electronic Builders and contractors registration system (eBACS) has been enhanced since Jun 2017 1 These refer to building projects classified under contractors registration system (CRS) Workhead CW01. 2 These refer to civil engineering projects classified under CRS Workhead CW02. 3 The C41 reports provide GPEs assessment of the contractors performance in public sector projects. to enable individual contractor to view its own performance reports. Contractors are to approach the respective agency if they wish to seek clarification on the project performance or request for the performance to be submitted to BCA upon project completion. Introduce additional attributes under the Productivity (PD) component 7 To better recognise contractors efforts in raising productivity, agencies have the flexibility to assign up to 4% to additional productivity-related attributes specific to the projects under PD component ( the weightage assigned to the CS Index will be correspondingly reduced to a minimum of 4%).

4 For projects where CS Index is not applicable, up to 8% shall be assigned to additional project-specific productivity attributes or be discarded totally. Provide greater transparency on tenderers performance in Q and PD components 8 To provide greater transparency on tenderers performance so that tenderers can improve the QUALITY of their future bids, tenderers which wish to seek feedback on their tender performance after tender award can approach the agency that calls the tender for clarifications. We seek contractors understanding that such feedback from agencies should be taken positively for improving future tender performance. 9 The REVISED PQM framework will be published at shortly. For clarifications, you can contact the following officers: Name DID Email Steven Cheong Jocene Neo (Ms) Lee Huixian (Ms) 6804 4758 6804 4576 6804 4569 Thank you.

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