Guo Qiang Wu Yaoxing
Since the implementation of the bidding system for engineering construction projects, the optimal allocation of social resources has been better realized through standardized and effective market competition, and the occurrence of corruption has been prevented to a certain extent through fair and transparent operation procedures. However, we still find some illegal and irregular problems in some projects in the audit of bidding and tendering of engineering and construction projects. This article on such issues and audit practices to talk about a few points of experience. First, the main problems in bidding and tendering 1. Bid evaluators artificially manipulate the winning bid results. First, the bid evaluator in the form of preferential offer, adjust the bid price. Such as a project to take the lowest evaluated price winning method. After the opening of the project, the bid evaluator sent a letter to the bidder asking whether the bidder is willing to bid on the offer, the offer is again preferential, and a deadline to reply. The bidder with the lowest bid considers that it is already the lowest and does not adjust its bid downwards, while the bidder with the second-lowest or lower bid responds to the letter in time and adjusts its bid downwards, so that it becomes the lowest bidder and is awarded the tender. Such a practice is actually collusion between the bidder and the bidder to change the substantive content of the bidding documents in order to realize that the "person of interest" wins the bid. The second is that the bid evaluator regulates the outcome of the winning bid in the form of clarification of ambiguous content. For example, in a bid evaluation, a bidder is most likely to win. The bid evaluator asks the bidder to clarify the content of the bidding document with "the liquidity to be invested in the bid", and implies in the mutual communication that it has a chance to win other bids if it gives up the bid. The bidder understood and wrote back stating that "due to the liquidity constraints of our company, we do not have sufficient funds to invest in the bid" and gave up the chance of winning the bid. The bid evaluator rejected the lowest-priced bidder on the grounds of insufficient liquidity, making the bidder with the highest bid win the tender, which relatively raised the winning price and jeopardized the interests of the State. Thirdly, the bid evaluator practiced discriminatory treatment of bidders and deliberately excluded bidders. For example, the external bidder of a provincial water conservancy system clearly promised in its bidding document that "the project undertaken by us will never be subcontracted or sub-subcontracted without the consent of the owner, and all the works will be completed by itself", and the bid evaluator composed of internal experts of the system, for the purpose of protecting the internal enterprises, found that the bidder had "substantially exceeded the required price by a certain amount", and the bid evaluator had no basis to conclude that the bidder had "substantially exceeded the required price". The bid evaluator, composed of experts from within the system, for the purpose of protecting the internal enterprises, found that the bidder had "subcontracted substantially more than the permitted amount and in a manner that exceeded the permitted amount", and rejected the bidder on unreasonable grounds, so that the bidder from within the system with the higher bid was able to win the bid. 2. Bidders falsify and disrupt normal bidding. First, the bidder exaggerates the economic strength, cheating to win the bid. For example, a project requires that "the bidder's flow of funds or credit for this contract shall be not less than 5.5 million dollars". If a bidder fails to meet this requirement, its bid will be rejected. For this reason. Certain bidders make use of their connections and ask banks to issue false credit certificates for them. They confirm that they have high creditworthiness and a large credit line, and that they are able to meet the financial requirements. What's more, before the bidding all around the debt, to be cheated after the winning bid and then make "return to Zhao". Secondly, the bidder exaggerates the technical strength and wins the bid by deception. In order to meet the bidding requirements, a bidder will be contracted for part of the ancillary works of the whole project is listed as
name, in order to "grow" their own strength. Some bidders in the bidding process in the production of fraud, the production of fake diplomas, fake certificates, some low-education, unskilled temporary staff also indiscriminately, want to muddle through. There are also bidding units whose qualifications do not meet the requirements of the tender, and they participate in the tender by borrowing the qualifications of other units. After winning the bid, they pay a fee to the unit providing the qualification. Thirdly, the bidders surround each other and accompany each other to win the bid at a high price. A bidder secretly invites several other enterprises that meet the bidding conditions and have the appropriate qualifications to apply for the tender, and then they go all the way through the five hurdles and win the tender as if they were in the bag. Sometimes, the bidding unit will produce the bid, and the winning bidder will pay a certain amount of remuneration after winning the bid, which is a more covert and costly method. In other cases, the winning bidder simply produces the tender in a unified manner. This improves the efficiency of bid-rigging and reduces the cost of bid-rigging, resulting in a situation in which you are with me today and I will be with you tomorrow. Accompanying the bidding, the purpose of bidding is to raise the bidding, so that the bidder to bear the price is much higher than the market price, the real damage is still the bidder. 3. Bidders and bidders collusion, **** for profit. In the current bidding and tendering activities, there are all kinds of bidders and bidders collusion, manipulation of the winning results of the behavior. These unfair competition behavior, is at the expense of national interests, social public **** interests or damage to the legitimate rights and interests of others at the expense of its means is often a combination of the above practices. Second, the bidding audit of several practices carefully review the information, comparative analysis. Such as a bidder at the same time to the two standards, and auditors found that the comparison of the two standards of the project content is the same, the same requirements for bidders, but the bid evaluator is in the qualification examination of bidders, that the bidder "in the last three years of similar engineering performance" qualification in one of the standard qualified, and in the other standard is unqualified. The auditor thus deduced that there was artificial exclusion of bidders in the bid evaluation. 2. Extended in-depth investigation and field implementation. Accompanying the bidding, bid-rigging means hidden. From the bidders to the bidders and then to the evaluation of the bidders are not aware of, as "iron barrel array", the auditor of a bidding unit to extend the investigation only to find out the solid evidence of irregularities in the operation of the unit, that is, the other several bidding units in the unit to reimburse the purchase of bidding costs of invoices. It turned out that the unit won the bid, the bidding unit to accompany the bid with the documents to reimburse the cost of purchasing the bid. Auditors used this as evidence, the unit had to admit that the bidding process, there are bidding behavior. Some bidders paid bribes and then used "hospitality" "business expense" invoices or false invoices for reporting. In a bidder, extended audit, the auditor found a note for the hospitality of the owner of the cost of the invoice, the bidder bribery behavior "jumped off the page". 3. Multi-party access to information, and follow the vine to find the melon. For example, in an audit, the auditor received a report reflecting that a winning unit in the bidding before the existence of subcontracting subcontracting behavior, and has been seriously disciplined, while the bid evaluator determined that the unit does not subcontracting subcontracting behavior. In this regard, the auditor, based on the tip-off, investigated and found that the situation is true, and deduced that the winning bidder and the bid evaluator have colluded to earn the suspicion of "pulling out the carrot to bring out the mud" eventually.
Abstract: The implementation of project bidding promotes the prosperity of China's construction market and economic development, saves project investment, and improves the quality of construction projects. With the continuous development and improvement of China's socialist market economy and the urgent requirement of convergence with international practice, the bidding and tendering of engineering projects will be more and more standardized and institutionalized. On January 1, 2000, the state promulgated the "Chinese People's *** and State Bidding Law", and successively formulated a series of policies and regulations to standardize the relevant rules and regulations, and gradually formed the basic framework of the construction bidding regulations system, effectively curbed corruption in the field of construction, to standardize the bidding work of construction projects, and punished irregularities in the bidding activities has played an important role, however, the time for the implementation of construction bidding in China is still not yet over. However, the implementation of project bidding in China has not yet been long, and the standardized operation of project bidding is still far from enough, and there are still a lot of corruption phenomena, and the management of project bidding needs to be strengthened urgently. The reason for this is that, in addition to the market environment in our country has to be mature, the market mechanism still needs to be perfected. It is also necessary to increase the strict implementation of the bidding system in accordance with the law; effectively strengthen the system construction of the tangible construction market, standardize the bid evaluation agencies and bid evaluation activities, to ensure the fairness of the bid evaluation activities; strengthen the internal cost management of construction enterprises to improve the level of management; and strengthen the supervision and enforcement of the project bidding and administrative supervision in accordance with the law. English Abstract ： The implementation of project bidding promoted China's construction market prosperity and economic development, save the project investment, improve the construction quality. Along with our country socialist market economy continues to develop and perfect, and with international practice, the urgent requirement of project bidding will be the most important factor in the development of China's construction market. Along with our country socialist market economy continues to develop and perfect, and with international practice, the urgent requirement of project bidding will more and more standardized and institutionalized. On January 1, 2000, the government issued the bidding law of the People's Republic of China. On January 1, 2000, the government issued the bidding law of the People's Republic of China, and gradually establish a series of policies and regulations, regulate related rules and regulations, gradually formed bidding for construction project regulations system. On January 1, 2000, the government issued the bidding law of the People's Republic of China, and gradually establish a series of policies and regulations, regulate related rules and regulations, gradually formed bidding for construction project regulations system framework, effectively the construction field to regulate the corruption, project bidding, punish violations of the bidding activities play an important role, but our country executes project biding time is not long, project bidding process normalized operation is still far from process normalized operation is still far from enough, there are still many corruption phenomenon, the management of project bidding to be strengthened .Investigate its reason, besides our market environment, market mechanisms to mature beyond need to be perfected. Should strengthen strict execution to tender according to law system; Strengthen the construction of system in the construction market of a tangible, standardize the bid evaluation Should strengthen strict execution to tender according to law system; Strengthen the construction of system in the construction market of a tangible, standardize the bid evaluation institutions and the bid evaluation activities, to guarantee the fairness of the bid evaluation activities; Strengthen building enterprise internal cost management, improve the level of management; Strengthening project bidding according to law supervision enforcement implement administrative Supervision.
Keywords: corruption
Declaration of originality The project management thesis hereby submitted is the result of my own independent research under the guidance of my supervisor. This thesis does not contain any published or authored research results by any other individual or group, except for those explicitly cited or referenced in the text. I enjoy and assume the rights and responsibilities arising from this thesis in accordance with the law. Declarant: (Signature: _________) Date: June 26, 2010
Problems and Countermeasures in Bidding of Engineering Projects
AbstractThe intention of bidding of engineering projects is to allocate social resources in a reasonable and orderly manner. Through the bidding such an activity, the enterprise superiority and inferiority, and finally allocate resources to the management quality and technical ability are stronger party, give full play to the role of competition mechanism. At the same time, in order to win more and better bids, enterprises have to improve themselves, strengthen their management, and continuously upgrade their technical level to enhance their competitiveness. This in itself is a good thing that is not to be blamed and is beneficial to others and to oneself. However, in reality, due to the existence of a great interest drive in bidding itself, many corrupt phenomena such as using power for personal gain, money and power trading, and enriching oneself and other corrupt phenomena keep occurring, which have produced extremely adverse social impacts. The purpose of this paper is to point out the current project bidding activities in a wide range of problems, and for these problems to put forward corresponding countermeasures, for the future better carry out the bidding work to provide reference and reference. Keywords project engineering, bidding and tendering, problems, hazards, countermeasures Keywords English AbstractInviting bidding and tender of construction project aims at finding English Abstract out a reasonable and ordered way to deal with the social resources. By the action of inviting bidding and tender, enterprises compete and the battle is to the strong. the one who are more outstanding in By the action of inviting bidding and tender, enterprises compete and the battle is to the strong. The one who are more outstanding in management and technology finally get the resources, which brings the role of competition mechanism into full play. At the same time, in order to win the bid more times and in high quality, enterprises must raise their own standard in management and technology and become more competitive. However, in reality, the benefits of inviting bidding and tender drive some corruptions occur, which leads bad effects on society. However, in reality, the benefits of inviting bidding and tender drive some corruptions occur, which leads bad effects on society. The text points out existing problems lies in inviting bidding and tender, and presents countermeasures and suggestions to improve the bidding work. The text points out existing problems lies in inviting bidding and tender, and presents countermeasures and suggestions to improve the bidding. work. english keywords project bidding & tender problems english keywords full text full text damage suggestions
I. Introduction The bidding system has become the main transaction method in China's construction market since the early 1980s when it was first introduced in the field of engineering construction
Since then, the bidding and tendering activities have been followed for a long time. For a long time, the bidding and tendering activities have been following the principle of "openness, fairness and impartiality", first by the design, construction and material supply units such as independent quotation and bidding, mutual competition, and finally by the contracting party to choose the best contractors. It can be said that the implementation and continuous improvement of the bidding and tendering system has, to a large extent, ensured the quality of construction works, accelerated the progress of construction, and enabled the main parties to the construction to achieve better economic benefits. The practice of nearly 30 years has proved that the bidding and tendering system is a relatively mature, scientific and reasonable way of contracting and awarding projects, and it is also the best way to ensure the quality of construction projects, speed up the progress of construction and achieve ideal economic benefits. However, at the same time, the development of the construction market in our country is not standardized enough, the supervision and constraint mechanism is not perfect, the management system is not sound enough, coupled with the lack of experience, the bidding system still exists some irregularities and irrational weak links in the actual operation. II. From the actual operation of the bidding process problems and hazards 1. circumventing the bidding Case 1: Gan investigated and dealt with circumventing the bidding subcontracting and subcontracting cases of illegal bidding Jiangxi Provincial People's Congress Finance and Economics Committee recently announced the implementation of the province's construction projects bidding inspection report said that in recent years, the construction sector to investigate and deal with a number of circumventing the bidding, subcontracting and subcontracting cases of illegal bidding and bidding cases, a number of serious construction companies were removed from the construction market, and effectively curbed illegal bidding and bidding. According to the report, in recent years, the construction sector has investigated a number of cases of bidding and tendering violations, and some construction enterprises with serious circumstances have been removed from the construction market. According to the Jiangxi Provincial People's Congress Finance and Economics Committee, from 2004 to the first half of 2006, Jiangxi **** 6,964 housing construction and municipal infrastructure projects to implement the tender, the total cost of the bidding 38.444 billion yuan, saving 1.425 billion yuan.
The inspection report disclosed that the Jiangxi Provincial Mechanical Engineering University circumvented the bidding and dismembered the contract when it opened the new campus project; Guixi City Land Bureau required the bidder to advance 1 million yuan when it opened the project of the comprehensive building to trade for the comprehensive business building, and required it to float the winning bid by 10 percent. In the above cases, the construction department has seriously dealt with the responsible units and persons and publicly exposed them. From 2004 to June 2006, the Jiangxi Provincial Water Conservancy Department has penalized 14 construction enterprises, one supervisory unit and one bidding agent, and canceled the qualification of 11 water conservancy construction enterprises to participate in the bidding of water conservancy projects in the province. Jiangxi Province, in conjunction with the relevant departments to accept more than 60 bidding complaints, the seriousness of the situation of illegal bidders, resolutely cancel its bidding or winning qualifications. Such as Chang Thai high-speed kilometers, Le Wen Expressway, three winning enterprises in the construction process of illegal subcontracting and subcontracting works, Jiangxi Province, the Office of the focus on this investigation and handling, and will be withdrawn from the field. Analysis: Before analyzing the above cases, first talk about avoiding the bidding. The so-called evasion of bidding is the tendering person's various means and methods to achieve the purpose of evading the bidding. Article 4 of the Bidding Law stipulates that: No unit or individual may reduce a project that must be tendered by law to zero or avoid tendering in any other way. There are generally three types of bidding evasion: first, by dismembering the project to avoid bidding. The construction unit will reduce a single project with a large cost to zero and dismember it into a number of small sub-projects, the cost of which is lower than the bidding limit, so as to avoid bidding. For example, in the course of the audit, it was found that a certain unit had dismembered the office building renovation project into floor renovation, ceiling and other projects for separate contracting to the outside world. Second, the budget price is lowered. Find ways to reduce the cost of the project to the tender limit below, determine
determine the construction unit, and then adjust the project, the final settlement, the final project settlement price is often much more than the tender price. Third, after winning the bid to change the amount of work. For example, some units will be the first main building project out of the tender to determine the construction unit, and then make clear that the work is not only the main building, but also increase some of the ancillary buildings, to avoid the bidding of the ancillary buildings. From this case in Jiangxi Province, it is not difficult to see that bidding evasion is not uncommon in the current society, if not the relevant departments even if they find and stop the investigation, such a phenomenon will certainly lead to the whole provincial engineering project bidding more serious corruption and cattiness, and even disrupt the normal order of the construction market. The construction market project contracting from the government construction administrative department directive plan to assign tasks, to the construction enterprise on the market to solicit business, and then developed to today in the tangible construction market (government investment projects) to participate in the bidding. The government established the bidding and tendering system in order to establish a normal market order, but some construction enterprises or their agents do not go through the public bidding and contracted to the project, thus disturbing the normal market order. At the same time, the quality of the projects produced under such an unfavorable environment cannot be guaranteed. Illegal behavior in the bidding, mostly for personal or small collective gain, so that the owner and the construction unit of mutual constraints between the relationship, replaced by a special relationship of interest. This makes both sides of the project quality and efficiency of the responsibility of the constraints to a minimum, easy to jerry-building, not the implementation of mandatory standards for construction and other behavior, and even the emergence of the owner unit and the construction side of the collusion, cover up the quality of the situation. Thirdly, it is easy to induce corruption. Normal bidding projects are carried out in the "sunshine", and the so-called negotiation project is often a unit of several people for the so-called evaluation of bids, in the project contracting process, the key person has become the object of the construction unit to attack, easy to lead to money and power transactions, resulting in corruption. 2. Bidding information bulletin release is not standardized "Bidding Law" stipulates that the release of bidding information made clear provisions, but in the course of actual operation, some people do not follow the provisions of the release of information, which is mainly manifested in two aspects: First, some people often under the pretext of tight deadlines and tasks, and to improve the efficiency of the work of the release of information at will to shorten the time, and in some cases, only released a week or two in a hurry to open the bidding; second is to limit the scope of the release of information, not in accordance with the requirements of the required in the required in the construction unit. Secondly, they limit the scope of information dissemination and do not publish the information in the required media, but only publish the announcement in an unknown local newspaper with a small circulation, and some even post the announcement at the entrance of the organization. Both of these practices objectively create inequality of access to information for potential bidders and violate the principles that should govern bidding and tendering activities. 3. Serious bid-rigging, bid-rigging phenomenon Case: "Gree incident" Guangzhou Municipal Government Procurement Network shows that on November 4, 2008, Guangzhou Panyu Central Hospital Construction Office commissioned the Guangzhou Municipal Government Procurement Center to organize the air-conditioning project procurement, Guangzhou Gree Air Conditioning Sales Co. Guangzhou Gree Air Conditioning Sales Co., Ltd. bid with Guangzhou Hydropower Equipment Installation Co., Ltd., Guangdong Petrochemical Construction Group Company, China Construction Third Bureau Second Construction, Guangzhou Fine Arts Company, Guangdong Overseas Chinese Construction and Decoration Company***. The Panyu Central Hospital "Sub-package 2" project description published by the Guangzhou Municipal Government Procurement Center on its website shows "Purchase and Installation of Inverter Multi-Coupling Air Conditioner Equipment for Outpatient Building", including 314 outdoor units and 1,198 indoor units, with a budget of RMB 22.2 million. The budget is 22.2 million yuan. Gree indictment, November 5, Guangzhou Gree Air Conditioning Sales Co., Ltd. received from the Guangzhou Municipal Government Procurement Center, "on the submission of the original bidding information to the purchaser to check the letter", was told on November 4, the evaluation of bids to become "sub-package two" of the first successful candidate. According to Gree's Complaint, on November 10, Gree received a letter of explanation from the Panyu District Central Hospital Preparation Office of the purchasing unit from the Guangzhou Municipal Government Procurement Center. According to the letter, the evaluation of its commissioned bid evaluation experts that the winning candidate's bidding documents have many problems, "reflected on-site, not be taken seriously", and then again carefully check the "bidding documents", that Gree air conditioning bidding equipment can not essentially satisfy the bidding documents to hit the asterisk clause. On November 13, the Guangzhou Municipal Government Procurement Center sent a letter to the Panyu Central Hospital and the Government Procurement Management Office of the Panyu District Finance Bureau with a "statement of case" from Gree Air Conditioning. However, the Panyu Central Hospital still believed that the GREE air conditioning bidding equipment could not meet the requirements of the bidding documents, and refused to confirm the results. The indictment shows that on November 14, the Panyu District Government Procurement Office wrote to the Guangzhou Municipal Government Procurement Center to propose a review of the project in accordance with the relevant provisions. 18 November review, Gree air conditioning was completely "scrapped", Guangdong Provincial Petroleum and Chemical Industry Construction Group Corporation became the winning supplier, the company's offer of 21.51 million yuan, 17.07 million yuan more than Gree's offer. The company's offer was 21.51 million yuan, which was more than 4 million yuan more than Gree's offer of 17.07 million yuan. This made Gree very dissatisfied. The situation of bid-rigging and bid-rigging, " we think it is very obvious. " Guangzhou Gree legal department manager Chen Yong told the Times reporter, they think the bidding conditions are tailor-made for some people. Analysis: From the Gree incident, it is not difficult to find that some projects, especially in some engineering and construction projects, bidding units or bidding units and bidding units collude with each other to win the bid. Some contractors in order to undertake the project, the phenomenon of illegal means to participate in the bidding competition is very common. For example, a construction unit may rely on several construction enterprises to participate in the bidding process, and by compiling different bidding programs to carry out bid-rigging and bid-rigging, other bidders will be crowded out of the game. It seriously disrupts the order of the bidding market, jeopardizes the legitimate rights and interests of the State and others, and triggers corruption. III. Countermeasures and Suggestions 1. Improve the strength of supervision and monitoring First of all, we should improve the supervisory organization, give full play to its management function, and really investigate and deal with according to the law and strictly control the improper and illegal behaviors in the bidding and tendering activities by no means soften them. To strengthen the bidding and tendering filing system, the bidding and tendering management office should be enriched, seriously fulfill its functions, and strengthen the supervision and plug the loopholes by targeting the weak links in the bidding and tendering management process. Secondly, we should establish a sense of responsibility and strengthen supervision. In-depth clarification of the bidding office and the management department's responsibility, so that the bidding market and the management of the market to coordinate the operation of the project to prevent the emergence of subcontracting, illegal subcontracting, illegal changes in the design of illegal and illegal problems. In addition, it is also necessary to strengthen the law enforcement and inspection, and severely punish the illegal behaviors. Bids with collusion and dependence are invalidated, and depending on the situation, the bidders are suspended from trading activities in the construction market of the county for one to two years. Problems in all aspects of bidding will be investigated in accordance with the law and the disciplinary and legal responsibilities of the parties involved. The standardized operation of bidding activities is guaranteed by strong law enforcement and supervision. 2. Strengthening the construction of bidding center and standardizing the operation of bidding. Decouple the bidding center from the bidding office, so as to separate operation and supervision and ensure that supervision is in place. At the same time to strengthen the bidding center staff of law and discipline education. Focusing on the use of negative examples to carry out educational activities to enhance their sense of integrity and self-discipline and the awareness of administration in accordance with the law. In addition, it is also necessary to strengthen the constraints on the bidding agency organization. The relevant departments should strengthen the education of the staff of bidding agencies in the rule of law and practice ethics, and promote their standardized practice. Fourthly, the hardware facilities and internal management of the bidding center should be strengthened, internal rules and regulations should be revised and perfected, internal personnel management should be strictly controlled, the pool of experts and judges should be adjusted and enriched, the methods of evaluating and determining bids should be improved, and the procedures of on-site trading activities should be strictly followed, so as to make the center an effective carrier of bidding and tendering activities. 3. Improve the rules and regulations, purify the bidding market Establish a monitoring system for the behavior of owners. To must bidding but not bidding, the project will be dismembered contracting and other acts to be seriously investigated and dealt with, depending on the severity of the case, not to issue construction permits or prohibited from developing new projects. At the same time, credit files should be set up and the integrity access system should be improved. In addition, a market entry and exit system has been established. By strengthening the annual inspection of enterprises and the registration of professional and technical personnel, enterprises and professional and technical personnel that fail to meet the requirements and have violated the law will be downgraded or removed from the construction market in accordance with the law. Finally, the tangible construction market should be improved to promote fair competition and break down regional and industry protection. The improvement of the tangible market will further break the monopoly of the industry and local barriers, and realize the principle of real fairness, justice and openness.
References Literature
Wu Suping, "Ruminating on the problems and countermeasures in the bidding of engineering projects" Jiangxi Water Conservancy Science and Technology, 2006, No. 4, Liu Lu Deng Juan, "unfair competition in the bidding of engineering projects," Li Chunling, "the problems and countermeasures of bidding of engineering projects" Science and Technology Entrepreneurship Monthly, 2006, No. 7
This article is based on a series of research papers published by the Ministry of Construction of the People's Republic of China.