3 Challenges in the Construction Tender Process (And How You Can Solve Them)

Let’s not sugarcoat it: Bidding on construction tenders is a grind.

Deadlines are tight, last-minute errors in documentation are common, and estimators and contractors are constantly under pressure to put together the perfect bid. But tendering isn’t just about hastily assembling an estimate; it includes decoding specs, managing risk under pressure, sourcing reliable suppliers, fine-tuning costs, and juggling multiple stakeholders. In this high-stakes environment, speed and accuracy separate the winning bids from the rest.

That’s why this blog breaks down the biggest tendering headaches and how contractors and estimators can start to fix them.

Key Stages of the Tendering Process in Construction 

Whether you’re bidding for a small renovation or a massive commercial build, understanding how the tendering procedure in construction works can help predict potential gaps before they become costly overheads during execution. 

But worry not; this quick refresher will walk you through each stage of the process. Once we’re through that,  we can dive into the common tendering challenges and how to fix them. Read on!

Every successful project starts well before the first bid is submitted. During the pre-tender stage, the project team finalizes the scope, budget, timelines, and procurement strategy. Meanwhile, contractors scan upcoming opportunities and decide which projects are worth bidding on. Once that’s locked in, the client or general contractor issues detailed tender documentation - RFPs or ITTs that clearly outline requirements, specs, and evaluation criteria to minimize confusion during bidding.

Once the tender is announced, typically via online portals or direct invites, contractors get moving. They start reaching out to qualified subcontractors and suppliers to build out their bids. The bid submission follows, where proposals are compiled with pricing, timelines, and compliance documents. Miss the deadline, and you're out.

Once bids are submitted,  it’s evaluation time. The project owner reviews submissions based on price, technical strength, and relevant experience. After selecting a winner, final terms are negotiated, and the contract is awarded. The last step? Post-award execution - kickoff meetings, progress tracking, and change management—all the way through to project closeout and review.

Now that we’ve gone through the tendering procedure, let’s discuss where it often runs into trouble!

3 Top Challenges in the Construction Tender Process (And How You Can Fix Them)

We get it; no matter how often you go through the tendering process, it doesn’t get easier. Even the most experienced contractors and estimators run into roadblocks before the first brick is even laid. 

Let’s walk through 3 challenges teams face in the tendering process and how you can overcome them. 

Challenge 1: Tight tendering deadlines = Half-baked estimations 

The tendering process in construction often comes with tight deadlines, leaving estimators with little time to refine their bids. Especially when you look at complex projects, estimators are reading through 100s of sheets to grasp notes and summaries within plansets. This pressure can lead to rushed estimates, missed scope items, and costly risk blind spots. This ultimately lowers the chances of winning a tender. 

Besides, estimators manage a wide range of tasks—they review project scopes, perform takeoffs, raise and resolve tender queries, gather contractor details, review estimates, validate costs, and much more. 

Despite all these responsibilities, nearly 50% of their time still goes into just one task. Manual takeoffs. This skewed bandwidth leaves no room for estimators and contractors to engage with as many vendors as they should. 

Solution:  Give estimators their time back by automating repetitive, time-consuming tasks. 

When estimators automate their takeoffs, they free up time for the part that really matters—the human side. Think better vendor relationships, clearer communication, and smoother bidding processes.

With takeoffs automated, estimators will no longer need to rush through scope reviews, limit vendor outreach, skip value engineering, or compromise on estimate accuracy and risk checks.

AI-based takeoff software like Beam AI is built to do takeoffs for you. No more going through 100s of sheets in plan sets; Beam AI fully automates takeoffs, so you can focus on the strategic parts of bidding that help you win. It saves up to 90% of your time and helps teams push up to 30% more bids. And yes, a real estimator reviews every takeoff, delivering accurate results within 1-3 days, depending on project complexity. 

Want to know more about how Beam AI can automate your takeoffs? Book a demo now! 

Challenge 2: Inaccurate data & lack of transparency

One of the biggest pain points in the tendering process in construction is the lack of organized and accurate data and documentation. 

When tender documents are unclear or contain mistakes, it opens the door for confusion, misinterpretation, and flawed estimates. 

Solution:  Whether an honest miss or a deliberate omission, scope gaps = costly variations. Use transmittal documents and checklists to ensure every plan, report, and permit condition is reviewed and acknowledged before awarding the contract.

Challenge 3: Unqualified tenders on the job

One of the most overlooked tendering challenges? Failing to compare bids on a like-for-like basis. The lowest bid may look appealing, but once your team starts executing the job, this can reveal hidden costs or vague exclusions. Smart teams invest time comparing apples to apples, ensuring every line item, timeline, and risk is accounted for.

The Solution? Do not let cost be the only defining factor when selecting a supplier/distributor.

Instead, while picking suppliers, you should set up clear and transparent evaluation frameworks that consider technical capabilities, past performance reviews, project fit, financial health, and pricing. 

In-depth pre-qualification of vendors and weighted scoring systems can help you choose the best partner, not the cheapest. 

Before You Go: A Quick Recap on Navigating the Tendering Process in Construction 

Throughout this blog, we’ve explored the core challenges within the tendering process in construction, along with practical solutions to overcome them. While many of these fixes may seem straightforward, implementing them consistently is often easier said than done.

A strong, well-structured tendering approach helps you build the right team for the job and also sets the tone for how smoothly the project will run. 

So, what are the key takeaways? 

1. ‍Be transparent: All documentation and data should be accurate, complete, and easy to follow. Transparency is key—avoid hidden costs or inaccuracies.
2. Don’t shy away from tech adoption: Invest in tools that save time, streamline workflows, and improve accuracy. 
3. Make time for relationship building: Automating takeoffs allows estimators to dedicate more bandwidth to coordinating with stakeholders and other high-impact tasks.
4. Focus on quality: Cost is not the only factor when choosing a supplier bid. While selecting vendors for a project, focus on a more holistic evaluation process. 
5. Learn from your mistakes: Improve your approach by learning from past bids, on-the-job experiences, and team feedback.

At the end of the day, better tendering leads to better bids and, ultimately, better builds. By embracing transparency, technology, and continuous improvement, you can enhance your chances of winning the right partners for your project.