Preparing a Successful RFP to get Desired Results
November 19, 2013
RFP – RFQ – RFI
WHAT DO THE ACRONYMS MEAN??
RFQ – Request for Quote:
Commonly used when you
know what you want but
need information on how
vendors would meet your
requirements
RFP – Request for Proposal:
Is used when you have a
problem but don’t know how
you want to solve it and how
much you would charge for
implementing your solution
RFI – Request for Information:
Used when you think you know
what you want but need more
information from the vendors.
It is usually followed by and
RFQ or RFP
RFQ – Request for Qualifications:
Used to gather vendor
information from multiple
companies to generate a pool of
prospects. Is generally used to
short list candidates for the RFP
RFP – A Request for Proposal
A solicitation document that an organization
posts to elicit bids from potential vendors in
order to procure a product or service
through the responding business proposals.
The RFP process is meant to bring structure
and transparency to the procurement
decision, while reducing risk through open
requirements and discussion.
WHEN TO ISSUE A RFP/RFQ
• When the proposed commitment exceeds
a certain dollar amount
• When competitive bidding is mandatory
(usually a governmental agency)
KEY SECTIONS OF A RFP
WHY: Why your organization needs
to buy a new solution.
WHO: A brief description of your organization.
WHAT: What is the nature of your
project/needs/expected outcomes?
HOW: What information and documents
do you expect to receive from the providers?
WHEN: When to submit questions/proposal?
When will decisions be made.
WHY: Statement of Purpose
Describes the general scope, nature, specifications,
and purpose of goods, products, and services to be
acquired in a manner that will enable providers to
decide to respond to your request.
WHO: Background Information
Present a brief overview of your organization and its
operations in a company profile section. Include
pertinent information that will assist the potential
bidder with understanding more background on your
organization and the reason for the RFP.
WHAT: Scope of Work
Specify the different project phases
broken down into tasks.
Provide details on objectives, timeline,
provisions and obligations.
Include specific measurement of outcomes
and acceptance criteria.
WHAT: Outcome and Performance Standards
SPECIFY:
•
•
•
•
Outcome targets
Minimal performance standards expected
Methods for monitoring performance
Process for implementing corrective action
WHAT: Deliverables
Provide a list of all products, reports and plans that
will be delivered to your organization.
Request a list of who is on the team – include
resumes if applicable
Include a proposed delivery schedule.
HOW: Term of Contract
SPECIFY
• Length of contract
• Start/End date
• Payment schedule/amount
• Renewal options (if applicable)
HOW: Contractual Terms and Conditions
SPECIFY
• Compliance with laws, regulations, insurance and
indemnity
• Subcontracting – are there inclusion goals?
HOW: Requirements for Proposal Preparation
A consistent structure in terms of content, information, and
document types simplifies things for the people evaluating
the proposals.
Request a particular structure for the proposal and provide an
exhaustive list of documents you want to receive in order to
make an informed decision.
HOW: Evaluations and Award Process
Outline the general procedures, criteria, and relative
priorities used to evaluate and rank proposals in
order to make the final selection decision.
Selection Criteria – Example
Bidders will be rated from 1-5 (1 = Poor and 5= Superior) on
the following criteria:
1. Responsiveness to the RFP
2. Quality of response
3. Company’s background and experience
4. References
5. Extent of MWSBE participation
6. Controlling costs and meeting budgets
7. Fee schedule and other costs
HOW: Evaluations and Award Process
• Be specific – state how to respond
• Provide checklist of forms to be completed and
information to be included
WHEN: Process Schedule
Provide a timeline for the steps leading to the final
decision. Dates and deadlines for:
• Submitting a letter of intent
• Sending questions and receipt of answers to
these questions
• Pre-proposal conference (if necessary)
• Submission of proposal
Remember Clear Contact Info
Include contact information
for person responsible for receipt of questions
and information on the RFP
Key Takeaways:
• KNOW YOUR AUDIENCE: Prepare documents from the
perspective of the supplier.
• ELIMINATE UNKNOWNS to reduce the number of inquiries
and potential legal challenges.
This also helps suppliers deliver accurate pricing and cost
associated with delivering the request to your company.
Key Takeaways:
Both RFPs and RFQs are non-binding.
You are not, in any way, obligated to
hire the services of the other party to
which you sent your RFP/RFQ.
What Makes a Good RFP?
• Well organized and complete
• Every point is addressed
• Deliverables well-defined
• Brief and concise
• Evaluation process and criteria are clear
RFP Response – Red Flags
• Disclaimers
• Ignoring the Terms and Conditions
• Death by Boilerplate
• Ignoring Instructions:
“Forget your format - I’ll use mine”
RFP Response – Red Flags
• Answering questions with “To be provided upon request”
• Not addressing the selection criteria
• Making assumptions rather than asking questions
• Submitting the proposal late
• Using the wrong customer name
QUESTIONS?
Deborah Robb
Director of Community Revitalization and Inclusion
Port of Greater Cincinnati Development Authority
drobb@cincinnatiport.org
513.621.3000
www.cincinnatiport.org