Evaluating the Impact of Emerging Contractors’ Failure to Secure Tenders from the Tender Market

  • Sikhumbuzo LufeleEmail author
Conference paper


Purpose - The study evaluates the impact of emerging contractors’ failure to secure contracts from the tender market as part of the Western Cape’s Contractors Development programme (CDP). Design - The study adopted a quantitative research method, the study targeted emerging contractors in the Western Cape. The data was collected by using a questionnaire survey with closed-ended questions and was distributed to the population of 16 emerging contractors with CIDB grade 3 and 5. The descriptive and inferential statistics were used to analyse the study. Findings - The study has found that skills deficiency as the main reason for emerging contractors’ failure to secure contracts from the tender market. The findings have further revealed among others emerging contractors are unable to tender, interpret construction drawings, plan, estimate and enter into negotiations. Conclusion - Emerging contractors on the Western Cape’s CDP programme encounter difficulties to secure contracts from the tender market owing to their skills deficiency. This situation if further compounded by the fact that the Western Cape CDP has not set aside contracts for training purposes. Practical implications - The Western Cape CDP should review its policy with regards to training projects, contractors struggle to secure tenders from the tender market. The Western Cape CDP should not maintain the current status quo with regards to training projects otherwise it runs a risk of contractors not able to complete the mentorship programme.


Emerging contractors Tendering Planning Estimation Construction drawings 


  1. 1.
    Babalola, O., Eastman, C.: Semantic Modelling of Architectural Drawings (2001)Google Scholar
  2. 2.
    Babalola, O.: A model based framework for semantic interpretation of architectural construction drawings. Ph.D. Thesis, Georgia Institute of Technology (2012)Google Scholar
  3. 3.
    Bennet, F.L.: The Management of Construction: A Project Life Cycle Approach, 1st edn. Butterworth-Heinemann, Burlington (2003)Google Scholar
  4. 4.
    Berry, A., Blottnitz, V., Cassim, M., Kesper, R., Rajaratnam, A., Seventer, D.E.: The economics of SMMEs in South Africa (2002). [ Accessed 5 Aug 2016
  5. 5.
    Chilipunde, R.L.: Constraints and challenges faced by small, medium and micro enterprises contractors in Malawi. MSc Thesis, Nelson Mandela Metropolitan University (2010)Google Scholar
  6. 6.
    Construction Industry Development Board. 2004/2005. Annual Report 2004/2005. PretoriaGoogle Scholar
  7. 7.
    Cook, B., Williams, P.: Construction Planning, Programming & Control, 2nd edn. Blackwell, Oxford (2004)Google Scholar
  8. 8.
    De Marco, A.: Project Management for Facility Constructions: A Guide for Engineers and Architects (2011).
  9. 9.
    Hugo, W.M.J., Badenhorst-Weiss, J.A.: Purchasing supply management, 6th edn. Van Schaik, Pretoria (2011)Google Scholar
  10. 10.
    Iruka, A., Shakantu, W.: A theoretical perspective of emerging contractors’ economic sustainability: a strategic management approach. In: Proceedings: 9th Built Environment Conference, 2–4 August 2015, Durban, South Africa (2015)Google Scholar
  11. 11.
    Lazarus, S.: An integrated skills development model for emerging contractors in the Eastern Cape. Unpublished dissertation. Nelson Mandela Metropolitan University (2005)Google Scholar
  12. 12.
    Leedy, P.D., Ormrod, J.E.: Practical Research: Planning and Design. Pearson, Boston (2010)Google Scholar
  13. 13.
    Lester, A.: Project Planning and Control, 4th edn. Butterworth-Heinemann (2003)Google Scholar
  14. 14.
    Lines, B.C., Sullivan, K.C., Hurtado, K.C., Savicky, J.: Int. J. Constr. Educ. Res. (2015). Scholar
  15. 15.
    Malongane, D.: Challenges facing emerging contractors in Gauteng. M.Tech. Thesis. Tshwane University of Technology (2014)Google Scholar
  16. 16.
    Maree, K., Pietersen, J.: Surveys and the Use of Questionnaires: First Steps in Research. Van Schaik, Pretoria (2007)Google Scholar
  17. 17.
    Martin, L., Root, D.: Engineering contractors in South Africa: Interactions and learning. J. Eng. Des. Technol. 8(1), 64–79 (2010)Google Scholar
  18. 18.
    Pallant, J.: SPSS Survival Manual – A Step by Step Guide to Data Analysing Using the SPSS Program, 4th edn. McGraw Hill, Berkshire (2010)Google Scholar
  19. 19.
    Perks, P.S., Osthuizen, N.: Exploring supplier negotiations best practices and supplier relationships strategies in South Africa. Rev. Integr. Bus. Econ. Res. 2(1), 333 (2013)Google Scholar
  20. 20.
    Ramaswamy, J.N.: Reading and interpreting construction drawings. Course notes #403 (2016). Accessed 1 July 2016
  21. 21.
    South Africa. National small business amendment Act No. 102 of 1996 (1996)Google Scholar
  22. 22.
    Thwala, A.: Challenges facing black owned small and medium construction companies: a case study of Nelspruit - Mbombela municipality. J. Econ. Behav. Stud. 6(10), 771–776 (2014)Google Scholar
  23. 23.
    Thwala, W., Phaladi, M.J.: An exploratory study of problems facing emerging contractors in the North West Province of South Africa. In: Proceedings 4th Built Environment Conference, 17–19 May 2009, Livingstone, Zambia (2009)Google Scholar
  24. 24.
    Tredoux, C., Durrheim, K.: Numbers, Hypotheses & Conclusions: A Course in Statistics for the Social Sciences. UCT Press, Cape Town (2002)Google Scholar
  25. 25.
    Van Heerden, H., Mashatole, A., Burger, M.: Constraints faced by small contractors in the Gauteng province of South Africa. In: Proceedings of Conference of Informatics and Management Sciences, 24–28 March 2014, Zilna, Slovak Republic (2014)Google Scholar
  26. 26.
    Welman, C., Kruger, F., Mitchell, B.: Research Methodology. Oxford University Press Southern Africa, Cape Town (2005)Google Scholar

Copyright information

© Springer Nature Switzerland AG 2020

Authors and Affiliations

  1. 1.Department of Construction Management and Quantity SurveyingCape Peninsula University of TechnologyBellvilleSouth Africa

Personalised recommendations