Review of collusion and bid rigging detection methods in the construction industry

Collusion and bid rigging are deplorable practices, forbidden by law. They are harmful to the society and dangerous for a free market economy. Due to the high value of construction industry production and the importance of the time factor, anti-competitive behaviour in that sector can result in losses extremely significant for the national economy. Effective elimination of cartels and bid rigging requires detection, prosecution and successful penalization of cartels. Disrupting already existing cartels and deterring new ones from emerging is efficient only when there is an effective cooperation between the three above mentioned stages. Classification and brief description of numerous existing collusion and bid rigging methods were performed in this paper. As a conclusion, the author presents an idea to combine AI (Artificial Intelligence) and BIM (Building Information Modeling) together as useful tools for early detection of collusion and bid rigging in public tenders. © 2018 The Authors. Published by Diamond Congress Ltd. Peer-review under responsibility of the scientific committee of the Creative Construction Conference 2018.