Expression of interest

Outside construction, an EOI simply means telling someone you are interested, whether that is a job, a property or a program. Nobody is committed and no price is given.

In construction procurement the meaning is narrower. A client, head contractor or government agency issues a call for expressions of interest when it wants to test the market and narrow the field before asking for priced tenders. Respondents describe who they are, what they have built and whether they have the people, money and systems to do the job. The client then shortlists, usually to three to six parties, and only those are invited to tender.

Government agencies sometimes call the same step a registration of interest (ROI). Private clients and developers use EOIs too, particularly for early contractor involvement, where the builder is brought in during design. Whatever the label, the purpose is the same: spend the effort of a full tender only on parties who can genuinely deliver.

For a deeper look, read Tendering In Construction.

Most larger projects follow a staged path, and the EOI is the front door.

• EOI. The client publishes the opportunity and selection criteria. Interested parties respond with capability information, not prices.

• Shortlist. Responses are scored against the criteria and a shortlist is selected.

• RFT or RFQ. Shortlisted parties receive the request for tender (RFT), or a request for quotation (RFQ) for smaller or simpler packages, with drawings, specifications and the scope of works.

• Tender evaluation. Priced submissions are compared on price and non-price criteria, often with clarifications and negotiation.

• Award. The preferred tenderer receives a letter of acceptance or signed contract, sometimes preceded by a letter of intent.

Head contractors run the same process in miniature when they let subcontract packages, using an EOI to find trades with capacity before sending the package out.

Read the selection criteria first and answer them in order. Evaluators score against the criteria, not against your capability statement.

• Relevant projects. Recent jobs of similar type, value and complexity, with client contacts.

• Key people. Who will actually run the job, with their experience.

• Capacity. Current workload and how you will resource this project.

• Financial standing. Turnover, and evidence you can carry the job, sometimes via a financial assessment.

• Systems. Safety, quality and environmental management systems, licences and insurances.

• Approach. A short, specific view on how you would deliver the project and its main risks.

• Sending a generic capability statement. If it does not address the stated criteria, it scores poorly however strong the company is.

• Overstating capacity. Claiming you can resource a job you cannot staff tends to surface at interview or reference checks.

• Missing the deadline. EOI deadlines are usually strict, and late responses are often not accepted.

• Treating the EOI as a commitment. Neither side is bound. Being shortlisted is an invitation to tender, not a promise of work.

Not asking for feedback. If you are not shortlisted, ask why. The answers usually show which criteria you need to address better next time.