17th Annual Conference of the International Group for Lean Construction - Taipei, Taiwan - 2009

Integrated Model of Weighting and Evaluating Decision Criteria for Supporting Best-Value Contractor Selection

Chun-Chang Lin1, Wei-Chih Wang2 & Wen-Der Yu3

1PhD, Department of Civil Engineering, National Chiao Tung University, Taiwan, Phone +886 4/2392-8036, [email protected].
2Professor, Department of Civil Engineering, National Chiao Tung University, Taiwan, Phone +886 3/571-2121 ext. 54952, FAX 3/571-6257, [email protected].
3Professor, Department of Construction Engineering, Chung Hua University, Taiwan, Phone +886 3/518-6748, FAX 3/537-0517, [email protected].

Abstract

This study proposes an integrated model to facilitate the weightings and evaluations of tenders involved in the best-value contractor selection process. In the criteria weighting, an adaptive AHP approach (A3) is applied. A3 uses a soft computing scheme, genetic algorithms, to recover the weights of the various criteria based on the derived pairwise weighting matrix (PWM) of criteria. In the evaluations of tenders, two sub-models are proposed. The first sub-model is a bid price evaluation model (PRICE), and it is developed to deal with the quantitative criterion, i.e., bid price criterion. The second sub-model is a performance-based evaluation model (PERFORM), and it is employed to quantify the expected performances of other qualitative criteria for each bidder. The proposed model integrates with A3, PRICE and PERFORM to support the best-value contractor selection. The benefits of this proposed model are demonstrated by applying it a real-world case project. Lessons learned from this case project are also summarized to provide future applications.

Keywords

contractor selection, analytic hierarchy process, adaptive AHP approach, performance, utility function.

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Reference

Lin, C. , Wang, W. & Yu, W. 2009. Integrated Model of Weighting and Evaluating Decision Criteria for Supporting Best-Value Contractor Selection, 17th Annual Conference of the International Group for Lean Construction , 419-430. doi.org/

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