Which of the following is a document used to solicit proposals from prospective sellers which require a significant amount of negotiation?

A.
RFQ

B.
RFI

C.
RFP

D.
RPQ

Explanation:
Procurement planning involves preparing the documents required and determining the evaluation criteria for the contract award. Three common examples of procurement documents include:
Requests for information (RFI)
Requests for proposals (RFP)
Requests for quotes (RFQ)

A request for information (RFI) is a document used to solicit information about prospective sellers well before a RFP or RFQ is issued. A buyer uses an RFI in order to survey the landscape of sellers that could potentially bid at a later point in time. An RFI typically precedes an RFP or RFQ by many months.

Requests for Proposal
A request for proposal (RFP) is a document used to solicit proposals from prospective sellers which require a significant amount of negotiation. For example, if an agency wants to automate its work practices, it issues an RFP so sellers can respond with proposals. Sellers might propose various hardware, software, and networking solutions to meet the agency’s needs.

Writing a good RFP is a critical part of procurement planning and, as with everything else, expertise is invaluable. Legal requirements are often involved in issuing RFPs and reviewing proposals, especially for government projects. It might be advantageous to consult experts familiar with procurement planning. To make sure the RFP contains the required information to provide the basis for a good proposal, the buying organization should ask the following questions:
Can the seller develop a good proposal based on the information in the RFP? Can the seller determine detailed pricing and schedule information based on the RFP?

Below diagram provides a basic outline for creating an RFP. Its main sections include a statement of the purpose, background information about the organization issuing the RFP, the basic requirements for the product or service being procured, the hardware and software environment, a description of the RFP process, the statement of work and schedule information, and appendices, if required. A simple RFP might be three to five pages long, while an RFP for a larger, more complicated procurement might be hundreds of pages.

C:\Documents and Settings\user-nwz\Desktop\1.JPG

Outline For a Request for Proposal

Request for Quote
In contrast to a RFP, a request for quote (RFQ) is a document used to solicit quotes or bids, which require little negotiation, from prospective sellers for commodity items. For example, if the government wants to purchase 100 personal computers with specific features, it issues an RFQ to potential sellers. RFQs usually don’t take as long to prepare as RFPs. nor do responses to them.

All procurement documents must be written to facilitate accurate and complete responses from prospective sellers. They should include background information about the organization and the project, the relevant statement of work, a schedule, a description of the desired form of response, evaluation criteria, pricing forms, and any required contractual provisions. They should also be comprehensive enough to ensure consistent, comparable responses, but flexible enough to allow consideration of seller suggestions for improved ways to meet the requirements.

Answer option D is incorrect. It is not a valid option.