What is RFI? Collecting and processing information from suppliers in your processes is important for your business. RFI is the process of collecting written information from various suppliers (mostly potential suppliers). It includes a format that helps with actions such as comparing suppliers. Information is collected to help make decisions about what steps to take. Unlike RFPs and RFTs, RFIs are preferred for qualifying suppliers, developing strategy and creating a database. RFIs also define organizations' requirements and expectations. It requires specific answers about how the seller will meet them. An RFP or RFT is often used before an RFI request.
Price levelizations and more detailed information about the product/seller can be asked by buyers in RFIs. RFI, which is generally preferred in international markets, is one of the factors that affect the decision mechanism on whether the product will be purchased or not. Suppliers providing this information and providing serious responses to buyers can be the beginning of long-term commercial relationships. Issues such as relevant references or customer satisfaction are also important for suppliers in this regard.
To summarize, RFI involves gathering information about available ERP options. It allows potential suppliers to be narrowed down according to the needs of your business. It will appear as a purchase form. It is used together with RFP. RFPs, on the other hand, are more target-oriented.
The use of RFI can be found in the construction industry. RFI is used when documents related to the construction of a project lack information necessary for the continuation of any work. RFI is used to address concerns regarding neglect or misuse of a product. RFI management is a practice that became widespread in the early 21st century. Many companies have created and used these claims through spreadsheets. RFIs have helped businesses reduce costs, save time and deliver more error-free projects, and additionally improve quality.
When you send RFIs to your suppliers, you generally know what you want. But you will need to understand that this is still not enough. You may need different perspectives and new ideas. RFIs do this for you. Open-ended questions help you capture different perspectives. With the information you have acquired, you can obtain examples and detailed information such as additional meetings, demos, pilot applications. You can use more specific methods to make a decision. You can also support your RFP processes with this information.
What are the differences between RFI and RFQ and RFP?
RFIs are request forms that enable businesses to obtain more detailed information from suppliers and are mostly used in the decision-making phase. They are not target-oriented and contain a collection of data that enables obtaining effective information in supplier selection and turning it into an advantage. RFPs are considered a true request for proposal. When used together with RFIs, they help to achieve effective results. RFT are forms that describe what the buyer wants and how he wants it. Many things are included in these forms, such as the draft contract, including details on how the offer will be prepared. It contains complex regulations such as how the offer will be evaluated. RFIs make your RFP preparations easier.
RFQs can be responded as price requests. Purchasing officers only request price information from suppliers with these forms. Suppliers must respond to this request by including details such as price, payment condition and delivery time.
By combining all these processes in a single software, you can provide many conveniences for your business. Purchasing and supply systems, where you can easily manage your purchasing requests, help eliminate risks and reduce costs. Employees can easily make transactions with a few clicks. As the workload of employees will decrease, the time allocated to strategic activities will increase. Not only will you save time, but you will also save money.
SmartRise software allows you to easily process your business's RFI requests. Digitalize your business's purchasing and supply processes with its easy-to-manage panel!
