What is included in a Request for Quotation (RFQ)?

A Request for Quotation (RFQ) is a formal document issued by an organization to solicit pricing and terms from suppliers for specific goods or services. It typically includes detailed specifications of the items or services requested, along with instructions for submission and evaluation criteria. The primary purpose of an RFQ is to obtain competitive bids that allow the organization to compare costs and terms from different suppliers.

The inclusion of pricing and specific terms in the RFQ is critical for organizations to make informed purchasing decisions, as it reflects not only the cost but also the conditions under which the goods or services will be delivered. This can encompass aspects like delivery timelines, payment terms, and warranty conditions, all of which are vital for effective project planning and budget management.

While detailed project plans, summaries of proposed outcomes, and assessments of vendor qualifications are important components of project management and vendor evaluations, they are not the main focus of an RFQ. Instead, the RFQ is specifically oriented towards gathering financial proposals and terms, making pricing and terms the cornerstone of the document.