In the world of procurement and project management, three common terms often appear: RFP (Request for Proposal), RFQ (Request for Quote), and RFI (Request for Information). While they sound similar, each serves a different purpose in the vendor selection process. Understanding the differences can help businesses choose the right approach for their needs.

An RFP is a detailed document used when organizations need vendors to propose complete solutions for a project. It typically includes:

• Project scope and requirements

• Budget guidelines

• Timeline expectations

• Evaluation criteria

👉 Use Case: Choosing a new software vendor, marketing agency, or construction firm.

An RFQ is focused only on pricing and cost comparison. Organizations use it when they already know exactly what they need and just want to find the most cost-effective vendor.

👉 Use Case: Buying office supplies, hardware, or standard services with little variation.

An RFI is an exploratory document used at the early stage of procurement. It helps organizations gather information about potential vendors, available solutions, or industry best practices before moving to RFP or RFQ.

👉 Use Case: Researching available technologies or suppliers before starting a project.

• Use RFI if you’re just exploring and need background knowledge.

• Use RFQ if you know what you want and just need pricing.

• Use RFP if you need vendors to provide detailed solutions and creative approaches.

While RFP, RFQ, and RFI may sound alike, they serve very different functions in the procurement process. Businesses that understand these differences can save time, improve vendor selection, and achieve better results. Choosing the right method—whether gathering information, comparing prices, or seeking full solutions—is the key to smarter procurement.