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Your manager has approached you regarding her desire to outsource certain functions to an external firm. She would like for you to create a document to send to three vendors asking them for solutions for these functions that your organization is to outsource. What type of a procurement document would you create and send to the vendors in this instance?
A request for proposal (RFP) is a procurement document that asks the vendor to provide solutions, ideas, and detailed information about the outsourced function. The vendor will provide a proposal in response to the RFP. An RFP is often sent with a statement of work that details the outsourcing need that the vendor is to provide a solution and a price.
Answer option B is incorrect. A Request for Quote (RFQ) is a procurement document that asks the vendor to provide just a price for the solution to be purchased - no ideas or suggestions are needed from the vendor. RFQ are often used with materials, such as cost per metric ton or cost per unit.
Answer option C is incorrect. An invitation for bid (IFB) is identical to the request for quote. It is a procurement document asking the vendor for a fixed price for a specific thing to be purchased.
Answer option D is incorrect. A request for information (RFI) asks the vendor for more information about their solution, services, or company.
An RFI could ask for samples, references of work, white papers, and more information.