Challenges of using systems engineering for design decisions in large infrastructure tenders

Abstract

Decision-making in the tender phase of large, multidisciplinary, integral infrastructural projects is a complex task for contractors. They have to make decisions in design, construction, maintenance and regularly financing that will have long-term effects based on complex client requirements. The constrained environment of a tender, such as limitations of time and budget, and the unique context of every tender add more complexity. Therefore, no standard models are available for structuring the decision-making process in public tender procedures. Introducing systems engineering (SE) in the construction industry has led to more structured, process based working methods. Dealing with uncertainty in design information due to the low level of concrete specifications is for the contractors’ decision-making process still a significant challenge. As a result, contractors struggle with designing a solution that will not only persuade the client, but will also deliver the optimum value and reduce the risks associated with building and maintaining the proposed solution. In this paper, we explore challenges of using SE and the multi-criteria analysis techniques in a large infrastructure tender to support the decision-making. We report our initial findings of this in-depth single case study involving document studies and open interviews with the tender team. We found that the decision-making is not always done systematically and transparently, and can benefit from explicitly dealing with design uncertainty to create early understanding of the system. Besides, we found that assigning design responsibilities between subsystems lacks guidance for organizing a collaborative decision-making process. We make proposals for further research and recommendations based on these initial findings