Issue Date: 
Tuesday, October 11, 2016

Difference Between a RFI, RFQ and RFP

We are regularly asked, ‘what is the difference between a Request for Information (RFI), Request for Proposal (RFP) and Request for Quote (RFQ)’. Below is an explanation of these three requests.

According to the Government, the differences between RFQ’s, RFI’s and RFP’s are as follows:

“RFx is an abbreviation used to refer to a group of ‘Request For…’ documents, used to solicit responses of various types from suppliers. The three documents used in this group include Request for Information (RFI), Request for Proposal (RFP) and Request for Quote (RFQ).

Request for Information (RFI)

An RFI is generally used when the solution to a business problem is not immediately evident or clearly defined. The RFI is used to gather information, NOT to make a selection or an award. The Supply Chain Management Unit works with the Customer to:

  • clearly define the problem;
  • solicit external expertise regarding how to solve the problem;
  • study proposed solutions.

Request for Proposal (RFP)

An RFP is used when the Customer understands the business problem and what’s needed to solve it, including specifications and procedures. Price is usually not the determining factor in the evaluation of an RFP. Factors such as quality, service, and reputation are also taken into consideration.

Request for Quote (RFQ)

An RFQ is generally used to obtain pricing, delivery information, terms and conditions from suppliers. In this case, requestors have a clear understanding of what they need, including requirements and specifications. To procure the exact product or service you need, the Customer provides the Supply Chain Management Unit with as much information as possible, including complete specifications, quantities, and delivery schedule.”

The common threat between all three types of requests is that the Customer or Government Entity is not obliged to appoint a service provider on the results from issuing any of these requests. The best way to know that a tender award will be made is when you respond to a formal quotation or a competitive bid. Normally a formal quotation will be for goods or services with a value between R30,000-00 and R200,000-00 and a competitive bid will be for goods or services with a value exceeding R200,000-00.

Visit our website www.how2tender.com to find out more.

Title Closing Date Tender No.
Supply: Accessories 2017-12-01 10:00 GA11800224
Supply and Delivery of Petroleum Products for a period of three (3) years to JB Marks Local Municipality 2018-01-10 12:00 82/2017
Camera inspection and cleaning of sewers in various roads in District 1 2017-12-01 12:00 SK11800201
Remove, supply and fit, hand rails, pvc gratings and modular & dock ladders. 2017-11-28 10:00 SK1180160A
Construction of Non-Motorised Transport Facilities on an Ad-Hoc Basis for a period of 3 years in Polokwane 2018-01-10 10:00 PM112/2017
Provision of an approved panel of shuttle services nationwide 2017-12-01 14:00 TG099017
Rehabilitation and Upgrading of IRPTS Trunk Extension in Seshego within Polokwane Municipality Phase 2-Section A 2018-01-11 10:00 PM109/2017
Supply Streetlight poles 2017-11-28 15:00 GJ11800508
Rehabilitation of Feeder Routes 2018-01-11 10:00 PM110/2017
Hire of a premium flushable toilet with basin on a Licensed trailer 2017-12-01 12:00 SK1180184A
Provision of an approved panel of laywers 2017-12-01 14:00 TG099017
Provision of 276 security guards for a period of 3 years 2017-12-01 14:00 TG098017
Supply Streetlight poles 2017-11-28 15:00 GJ11800509
Provision of cleaning services to over 10 000sqm for a period of 3 years 2017-12-01 14:00 TG097017
Upgrading of Trunk Extensions Phase 2 Moletjie of the Irpts, Polokwane- Section B. 2018-01-12 10:00 PM111/2017
Supply: Streetlight poles 2017-11-28 15:00 GJ11800511
A panel of approved contrators for the design and construction of a 250 truck fleet depo 2017-12-01 14:00 TG096017
Provision of facilities management (electricity, plumbling, hygiene, food and building/civil works) 2017-12-01 14:00 TG095017
Hire of a D8 Dozer ( +/- 25000kg operating weight) is required for Vissershok Landfill Site 2017-11-27 09:00 WJ11800213
SPU Meter Readings 2018-01-30 10:00 MdB18/01

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Functionality and Tenders

In all competitive bids (tenders) you as the bidder will have to respond to Functionality. You will need to score a set minimum number of points, measured as a percentage, on Functionality of a competitive bid (tender) in order to advance to the next phase of evaluation in the tender process.

Usually Organs of State evaluate competitive bids (tenders) as follows:

  • The tender response is evaluated on Functionality where the bidder must score points out of a maximum of 100 points.
  • A threshold of between 65 to 75 out of 100 points... Read More
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