More RFQ Tips
Part 2 This post is a continuation of Part one of our RFQ Tips segment. A RFQ is all about the competitive bidding process however competitive bidding is no guarantee…
General posts and articles which do not fit anywhere else.
RFQ Tips
Part 1
The RFQ or Request for Quotation is also referred to as a Request for Qualifications. Both procurement forms are used by Buyers when they approach Vendors for goods or services in the Quotation instance and in the Qualifications scenario they are looking for specifics to determine whether you as the Supplier might qualify to complete a requirement the Buyer has identified.
The RFQ for Qualifications might be to determine whether you are able to complete special artwork for a public environment like say a public library for example. In this instance, the Buyer might offer the Supplier a small stipend like $500-1000 to create some form of facsimile of what they would provide as artwork for this public space. From the samples of artwork provided by potential bidders the Buyer would then consider an award.
In general, when talking RFQ’s most vendors would assume you are looking for a price quotation for either goods or services. A RFQ is a great way to get the current pulse or cost in the marketplace for the item(s) you seek. By issuing a RFQ, the vendor understands they have a shot at winning your purchase order or supply contract so they are often motivated to provide the best terms in an effort to gain your business. Not a guarantee however it is an assumption…read on. (more…)
How to improve your RFP – Part 3
Part Three of Four
In part one and two of this series we covered the importance of providing a clear, concise and detailed proposal. In part three, we will touch on the remaining components, the presentation and on responsibilities for your RFP document.
Let’s start with some good news — quite often another department like engineering or your technical group is responsible for providing the scope or the technical component of the RFP. They are responsible for putting together the guts of the proposal and the reason why you are issuing the proposal in the first place. You have heard the term “garbage in, garbage out”. Well, if you put garbage in your proposal, it is likely you will receive garbage in response.
As a buyer, you are typically responsible for incorporating this scope or detailed specification somewhere into the document. You need to construct or put the proposal together in a manner that makes sense to the bidder.
Other areas you need to focus on are the table of contents, the commercial terms, conditions, dates, site visits, meetings and ultimately putting together the evaluation and recommendation from all of the bids received. It is at this point you need to be cognizant of insurance, environmental, regulatory requirements and little things like payment terms.
What are some of the practices you can do to improve presentation and more importantly simplify this task?
- Much of a previous RFP (more…)