Works & Service

Manual

Heavy Engineering Corporation Ltd.

(a Govt. of India Enterprise)

Ranchi
Forward

In today’s competitive business environment specialisation plays a vital role.

Companies are increasingly concentrating on their core competence areas which help
them to add more value and outsource the services in the non core areas. This is very
relevant form economic point of view as well as to help the corporation to transform to a
lean organisation. In overall social & industrial prospective, this will provide wider scope
for better and efficient utilisation of persons and resources to create more economic
value.

Outsourcing of services is an important element for success in business

operation and the volume of outsourcing is likely to increase further in the coming days.
So the procedure needs to be streamlined for faster, efficient and transparent decision
making.

The Works & Service manual will act as policy, procedure and guidelines to
outsource services and execute work though contract.

( S. Biswas )
Chairman cum Managing Director

Ranchi
June-2006
In the process of preparing the manual, reference has been made to the following
documents:
- Existing General terms & condition for Works Contract.
- Finance Manual (HMBP & FFP)
- Works Policy of BHEL
- Manual for Civil Engineering Works of CIL
- Contract Document for domestic bidding (by Ministry of Statistics &
Programme Implementation)
- Procedure for selection of Consultancy Services (draft report prepared under
Department of Scientific & Industrial Research, Ministry of Science &
Technology and forwarded by DHI)
- Various CVC guidelines and
- Present practices in HEC

I offer my sincere thanks to those who have helped me in compiling this

document by providing valuable information, analysis and suggestions on various
aspects of Contract execution. Since no such manual existed earlier there may be
some gaps. Your kind feed back will help in updating the manual in future.

( K Sutradhar)
Sr.Manager (Corporate Planning)
 Contents

Section - 1 Page
No.

1. Introduction 1

2. Work Planning & Budget Provision 2

3. Works Proposal 5

4. Tender Enquiry 10

5. Analysis and evaluation 20

6. Order Placement & Agreement 24

7. Work measurement & Payment 28

8. Vendor Registration & evaluation 32

9. Useful references 37

Section - 2
10. Engagement of Consultants 40

List of Annexure

1 Delegation of Power Annex - I

2 General Terms & Conditions of Contract Annex - II
3 Vendor Registration application form Annex - III
4 Format for reporting Performance of Annex - VI
Contractor
Section - 1
Section - 2
List of Annexure