🇦🇪UAE

عدم الامتثال لقانون المناقصات العامة (Tender Law Non-Compliance)

2 verified sources

Definition

Non-compliance with UAE Public Tenders Law (AED 700,000+ threshold requirement for open tendering). Manual bid tracking, lack of documented evaluation criteria, and selective tendering on projects above threshold create legal and financial exposure. Government entities may reject bids or debar contractors for non-compliance.

Key Findings

  • Financial Impact: LOGIC-based: Estimated AED 50,000–250,000+ per non-compliant tender (debarment penalties, rejected bids, contract cancellation). Typical manual bid administration: 15–25 hours/month per contract.
  • Frequency: Per tender cycle; government tenders average 4–12 per year per contractor
  • Root Cause: Lack of automated tender compliance tracking; manual evaluation processes without audit trails; confusion between open and selective tendering thresholds

Why This Matters

This pain point represents a significant opportunity for B2B solutions targeting Residential Building Construction.

Affected Stakeholders

Tender Manager, Procurement Officer, General Contractor, Compliance Officer

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Financial Impact

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Current Workarounds

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Methodology & Sources

Data collected via OSINT from regulatory filings, industry audits, and verified case studies.

Evidence Sources:

Related Business Risks

أخطاء في اختيار المقاول الفرعي (Subcontractor Selection Errors)

LOGIC-based: Estimated 2–5% of project value (AED 200,000–500,000+ per major project) lost to rework, schedule delays, and contract disputes due to subcontractor failures. Manual bid evaluation: 20–40 hours per tender.

تأخر المدفوعات والتحقق من الفواتير (Payment Delays & Invoice Verification)

LOGIC-based: Estimated AED 5,000–20,000 monthly per subcontractor in delayed working capital (assuming AED 500,000–2,000,000 active contract value and 45–75 day payment cycle). Sector-wide: 1–2% of project cost per annum in working capital drag.

عدم الامتثال لمتطلبات الفواتير الإلكترونية (E-Invoicing Non-Compliance Risk)

LOGIC-based: Estimated AED 10,000–50,000 per audit per entity for e-invoicing non-compliance (based on typical UAE VAT audit penalties). Preparation cost: 10–20 hours/month manual invoice rework to meet emerging compliance. Large contractors (>AED 50M): ~AED 100,000+/annum compliance investment.

تجاوز التكاليف بسبب عدم وضوح العقود (Contract Ambiguity & Scope Creep Losses)

LOGIC-based: Estimated 3–7% of subcontractor contract value in change orders and disputes (AED 150,000–350,000+ per major subcontract on AED 2–5M values). Manual scope review: 15–30 hours per contract.

تجاوز التكاليف ونقص تتبع الميزانية

2-5% cost overruns annually (AED 3.8-9.5 billion across UAE market of AED 189.59 billion); typical project: AED 500,000-2,000,000 per project overage

تأخير السداد والتحقق البطيء من الفواتير

1 in 4 projects (25%) experience delayed payments; typical contractor loses 30-60 AR days per project; at 5% annual financing cost: AED 50,000-500,000 per AED 10M project annually

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