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ISSN:2222-7059 (Print);EISSN: 2222-7067 (Online)
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Title : A FMEA-aided Project Bidding Decision System
Author(s) : Chee-Cheng Chen
Author affiliation : Department of Business Administration, National Pingtung University of Science & Technology, Taiwan
Corresponding author img Corresponding author at : Corresponding author img  

This paper studies risk elimination of risk in the current bid evaluation process, addressing the problem of frequent accidents and disadvantages of the popular “lowest-price” bid policy. Failure mode and effect analysis (FMEA), a systematic analysis technique successfully applied in electronic industries, is introduced. A FMEA-aided model for project bidding evaluation is developed through analyzing and applying FMEA factors and methods to project bidding. An actual case is used to prove the applicability and suitability of the proposed approach. The FMEA-aided model was applied to effectively support the lowest-expected-cost (LEC) bidding decision method beneficial for meeting project goals to reduce the risk of decision making.

Key words:FMEA, Project bidding evaluation, Risk management, lowest expected cost

Cite it:
Chee-Cheng Chen, A FMEA-aided Project Bidding Decision System, Advances in Industrial Engineering and Management, Vol.3, No.1, 2014, pp.21-28, doi: 10.7508/AIEM-V3-N1-21-28.

Full Text : PDF(size: 329.05 kB, pp.21-28, Download times:1337)

DOI : 10.7508/AIEM-V3-N1-21-28

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