RFI vs RFP: What’s the Difference?
RFI vs RFP: What's the Difference?
There are different processes involved in smoothly running an enterprise. A business can’t function in isolation, regardless of the products or services it’s offering. It needs services from different vendors to get things done. Businesses use two key documents to learn about different vendors and invite proposals for specific solutions. This includes the Request for Proposal (RFP) and Request for Information (RFI). RFP support services offered by reliable players, like Acuity Knowledge Partners, can play a key role in this regard. There are plenty of differences between the RFI and the RFP document. Both these terms are used interchangeably, which shouldn’t be the case. Let’s delve deeper to learn about the differences between RFI and RFP.
What is an RFI?
RFI or Request for Information is an official document used by a company to obtain important information in writing from different parties. It is also issued to get additional information on business matters if required. It helps with the decision-making process for the next stage. The information gathered through RFI is often generic and provides insights into goods and services offered by a supplier and their capabilities. RFP support services can be used to create a questionnaire that can be used to gather important information from a vendor or supplier.
What is an RFP?
A Request for Proposal or RFP is a formal document that is used by businesses to gather precise solutions from qualified vendors and suppliers. The solutions could be for addressing challenges that the business is facing to run operations smoothly. It is a business document that is used to announce the commencement of a project and invite bids from various qualified contractors who can do the job. An RFP is typically the second stage of the information-gathering process. Companies need specifics on how the job will be done by inviting proposals from qualified vendors only. RFP support services are in huge demand, given the significance of an RFP for businesses.
Understanding the difference
Now that we are aware of what an RFP and an RFI entail, let’s learn about how they differ.
- Stage of the process
The RFI document is a preliminary document that is used in the first stage of the process to hire a vendor. It gives generic information about different vendors. The RFP document is sent after shortlisting qualified vendors by processing the details of an RFI document. So, this is the next stage and is followed by an RFP (Request for Proposal) document. Request for Quotation is a document that invites bids from selected parties.
- Content of the document
The first point of difference that will help us get a clear idea is the inclusions in an RFP vs. an RFI. An RFI document usually helps businesses to obtain generic information like a vendor’s speciality and experience in the domain, product and service offerings, company information, the vision of the company. An RFP document is typically used to discuss things like the purpose and scope of a project, existing business processes, compliance requirements, industry-specific concerns, security and tech requirements, etc.
