Issue Date: 
Tuesday, October 11, 2016

Difference Between a RFI, RFQ and RFP

We are regularly asked what the difference is between a Request for Information (RFI), a Request for Proposal (RFP) and a Request for Quote (RFQ).

"RFX" is a term used, to refer to all 'Request For…' documents used to solicit responses, of various types, from suppliers. The three common documents are:

  • Request for Information (RFI)
  • Request for Proposal (RFP)
  • Request for Quote (RFQ)

According to the Government's eTenders portal (http://www.etenders.gov.za) the differences between RFQ's, RFI's and RFP's are as follows:

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 describe the problem;
  • Solicit external expertise regarding how to solve the problem;
  • Study proposed solutions.

Request for Proposal (RFP)

An RFQ 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 needed, the Customer provides the Supply Chain Management Unit with as much information as possible, including complete specifications, quantities, and delivery schedule.

The common thread between all three types of "RFX" documents is that the Customer/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 of 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.

To learn all you need to know to respond to tenders correctly, and hopefully successfully attend our How-to-Tender workshops. Visit our website www.how2tender.com to find out more and to register. For more information on the tender courses please email Werner at werner@how2tender.com.

This article was written by Werner van Rooyen, Director of HowToTender (Pty) Ltd. which specializes in tender consulting and tender training.

Title Closing Date Tender No.
Terms of Reference for the Appointment of a Suitable External Audit Firm to Perform The External Audit on the Annual Financial Statements for the 2015, 2016, 2017 And 2018 Financial Years For Kwazulu Natal Community Education And Training College 2019-03-18 11:00 CET- KZN10
The provision of alternating pressure relieving mattress (60 per day-30 to general wards and 30 to ICU) on a rental basis over a thirty six (36) month period, to Groote Schuur Hospital. With an option to extend the contract by an additional twelve (12) months. 2019-03-15 11:00 GSHPT26/ 2018
Development of a Bank of Assessment Instruments, Model Answers and Compilation of Suitable External Examination Question Papers and Model Answers on Short-Term, Risk, Long-Term and Health Insurance Qualifications 2019-03-12 11:00 ETQA/ 2018/ 10
Development of a training programme and to train 100 TVET College Lecturers in 9 provinces to offer INSETA qualifications and also lead to certification for College of Insurance 2019-03-12 11:00 ETQA/ 2018/ 11
Appointment of a centralized Marking Centre Services for final external examination scripts (FISA) 2019-03-12 11:00 ETQA/ 2018/ 12
Request to Procure an Integrated Business & IT Service Continuity Solution With Fully Integrated Offsite Data Backup & Protection for a Period of five (5) years. 2019-03-18 11:00 ICASA 01/ 2019
Supply and delivery of Gelport Laparoscopic System and woundprotector/retractor to theatre for laparoscopic surgery for Groote Schuur Hospital over a one (1) year period. 2019-03-15 11:00 GSH: PT95/ 2018
Provision for a service provider to Design, Edit and Print GMA’s Integrated Annual Reports for the 2018/19, 2019/20 and 2020/21 Financial Years 2019-03-08 11:00 GMA/ 008/ 18
Automation of Annual Financial Statements (AFS) For GPG Departments 2019-03-08 11:00 GT/ GPT/ 016/ 2019
Appointment of a service provider to develop, implement and maintain an automated price data collection system for the Gauteng Provincial Government. 2019-03-08 11:00 GT/ GPT/ 015/ 2019
Supply and delivery of disposable prefilled humidifier sterile water bottles for Groote Schuur Hospital over a one (1) year period. 2019-03-15 11:00 GSH: PT52/ 2018
Specification for Automated Supplier Statement Reconciliation System for a Period of Thirty Six (36) Months 2019-03-08 11:00 GT/ GPT/ 013/ 201
Development of Office layout and design, supply and installation of office furniture for the Finance and Accounting Services Sector Education and Training Authority (Fasset) office. 2019-03-08 11:00 FAS/ LT/ SCM/ OFFI_FURNIT/ CON1091
Appointment of the Team of Technical advisors (legal, Financial and Eco-Tourism) to assist with the evaluation of expression of interest proposals 2019-03-15 11:00 EKZNW 14/ 2019
Provisioning of Hosted Digital Voice Communication system ( Voip) 2019-03-18 12:00 KZNLA 09/ 2018/ 19
Terms of Reference to appoint a service provider to conduct research in research organizations as an ETD subsector for the purpose of 2020/21 Sector Skills Plan (SSP) update 2019-03-12 11:00 SCMU: 31 - 2018/ 19
Terms of Reference to appoint a service provider to conduct research in early childhood development as an ETD subsector for the purpose of 2020/21 Sector Skills Plan (SSP) update 2019-03-12 11:00 SCMU: 30 - 2018/ 19
Terms of Reference to appoint a service provider to conduct research in libraries and archives as an ETD subsector for the purpose of 2020/21 Sector Skills Plan (SSP) update 2019-03-12 11:00 SCMU: 32 - 2018/ 19
Terms of Reference for the appointment of a service provider to supply ETDP SETA with servers for its provincial offices 2019-03-11 11:00 SCMU: 28 - 2018/ 19
Appointment of Panel of Legal services providers for a period of three (03) years. 2019-03-18 12:00 KZNLA 08/ 2018/ 19

Pages

Tender Knowledge

By Werner van Rooyen

www.howtotender.co.za

31 January 2019

Sometimes I am surprised at how little business people in South Africa know about Tenders and the Tender Process. Simple things like terminology and general tender information are difficult for people to comprehend not to mention the Standard Bidding Documents and Tender Pricing.

Unbelievably there are still Entrepreneurs that thinks to respond to tenders are an actual business? You will find that these Entrepreneurs would... Read More

Free Keyword search

Search all tender notices for FREE!

No subscription or registration required!

You can also search by the reference of the the tender.

Advanced search

Search by Issuer, Region or Sector, individually, or using any combination of the three.