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: Streetlight poles 2017-11-28 15:00 GJ11800513
Supply and deliver 48 X 48 Hour Meters 220-250 volt 2017-11-28 11:00 SQ11171137
Provision, disposal and servicing of sanitary bins at all the libraries in the City of Cape Town. 2017-12-01 09:00 SM11800201
Provision of armed escort and VIP services on adhoc basis for a period of 3 years 2017-12-01 14:00 TG094017
Supply: Luminaire adaptors 2017-11-22 15:00 GJ1180483A
Supply and deliver Water Meter Spares Connectors 2017-11-28 11:00 SQ11171137
Supply and delivery of 1,5 million liters of diesel p/m for a period of 3 years 2017-12-01 14:00 TG093017
Youth Development Program- Hair & Beauty training/workshop- WARD 75 2017-11-28 09:00 SM11800304
Supply and deliver Brass Bushes reducing 19mm x 15mm. 2017-11-28 11:00 SQ11171137
Supply and delivery of work uniform for a period of 3 years 2017-12-01 14:00 TG092017
Service provider: Hiring of toilets for the festive lights switch on – Sunday, 3 December 2017 2017-11-27 12:00 SL11800105
Supply and delivery of 10 000 boxes of A4 paper reams annualy for a period of 3 years 2017-12-01 14:00 TG091017
Supply and deliver Insertion Rubber 1.2mtr x 3mm thick 2017-11-28 11:00 SQ11171137
Sarah Baartman District Municipality Fire Service Assessment 2017-12-08 12:00 32/2017
Appointment of a service provider to assist CSOS with a content management website and intranet system 2017-12-11 11:00 CSOS004-2017
Supply and delivery of 3000 truck tyres annually for a period of 3 years 2017-12-01 14:00 TG090017
Hatch NBC and hatch ESP assemblies 2017-12-13 12:00 DLS150637
Supply and deliver Pre-Paid "Pay-As-You-Go" Airtime 2017-11-28 11:00 CSQ11171185
Service hatch assemblies 2017-12-13 12:00 DLS150638
Transfer fuel tank 2017-12-13 12:00 DLS150639

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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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