A quotation request (RFQ) is a standard business process to invite suppliers to bid on supplying specific parts, products or services. An RFQ (Request For Quotation) is also known as an IFB (Invitation For Bid) or Call for Tenders.
Usually an RFQ contains more than just the price per item. It typically includes the payment terms, the quality, contract length, quantities etc.
To make sure that all suppliers have the same bidding conditions it always includes the (technical) specifications required of the items/services that need to be quoted/supplied. The more detailed the specifications, the more accurate the quote will be. Another reason for having detailed bidding information on a Quotation Request is that the information can be used as legally binding for the suppliers.
RFQs are the most fitted quotations for parts, products and services that are as standardised as possible. This makes each quotation request comparable.
A quotation request (RFQ) allows different suppliers to provide a quotation. The best quotation suitable to the requestor, will be the one selected of course. This increases competitive bidding, since suppliers can be almost certain that they are not the only ones bidding.
INTERAL Procurement simplifies this step by offering a functionality that does most of the work automatically.
Ask a quotation from multiple suppliers
The quotation request unites suppliers and parts in one same window. The parts and services can be imported from quotations requests from other users or entered manually.
The interface allows users to print the requests all at once. All that is left to do is fax them to each supplier.
Once the suppliers have returned the completed documents, the user simply enters the prices given into the system. This allows you to easily compare prices and save each supplier's price for further use.
The interface also allows the user to emit a purchase order instantly.