In Vendor Management, we come across these terms.
- RFI – Request For Information
- RFQ – Request For Quotation
- RFP – Request For Proposal
But most of us find bit confusing. So, lets see the differences among those 3 terms. Following the Table, you may also find a nice video.
|Type of Vendor Request||Request for information||Request for quotation||Request for proposal|
|Purpose||Looking for information or not sure what solution might solve the problem||You know exactly what you want and why, but need to explore financials||When you’re ready and evaluate many factors before making a choice|
|Questions||Questions designed to educate and inform||Questions about what it will cost to meet the requirements||Specific, detailed questions about the service|
|Format||Casual, asking for help||Structured and prescriptive||Formal and direct|
|Benefits||Help inform next steps to meet business needs||Allows buyers to focus on price||Provides a clear comparison of vendor offers and capabilities|