Analytical hierarchy process (AHP) implementation in determining document evaluation criteria of post qualification E-tendering knockout phase

Abstract

The development of a country is directly proportioned to its growing infrastructure needs. One of the most needed infrastructure in Indonesia is medical facility. The construction of public hospital especially in its tendering phase needs to refer to the stated presidential decree that includes a specific rule and policy. The tender process needs to be done carefully to ensure the most beneficial offer is selected. This research will utilize e-tendering method to select the right construction partner. The criteria for the tender requirement will be chosen with the Analytical Hierarchy Process (AHP) which finally would be evaluated to determine the tender winner. AHP should help to elaborate the problem into multiple complex criteria, forming a hierarchy. The AHP implementation requires primary data from questionnaire and secondary data from existing research and policies. AHP calculation process is then used to process the data in the form of scores from the distributed questionnaire. The result of the AHP calculation was used to evaluate each offer from the goods and services providers, while finally done using the method of knockout by passing grade. The dominant factors that influenced the final decision making includes financial power (30.79%), Materials and equipments (8.55%), health and safety (4.59%), technical competence (8.91%), and experience (2.9%). AHP was proven to be very effective when utilized to evaluate e-tendering offer documents.