Question.3081 - A Request for Proposal (RFP) leads to proposals from prospective sellers. What criteria would you use to evaluate the sellers? Is price the most important criterion? Discuss with reasoning.
Answer Below:
Request for proposal Request for proposal is made to get business proposals from the seller or supplier side. After getting bids from the seller evaluating the right choice is very important. There are some criteria that can be used to evaluate sellers – ? Price ? Desire to do business ? Capacity of production and facilities ? Quality of product or service ? Delivery timings ? Seller's position in Market ? Attitude toward work ? Relationship maintenance ? Attitude toward change ? Use of Innovation and inventions with good technologies ? After sales services Proposals thus received should be compared with all the above based criteria and after evaluating combined score of each individual should be marked and keeping all the facts in front select best proposal and seller. Sometimes it is considered that price plays main criteria for selection of seller but it is not so. What will be the result if the price is low but the quality of product or service, use of technologies, capacity to produce goods, delivery timing does not meet the expectations of the buyer. Therefore the price is not the only criteria for evaluation of seller. References Upload & Share PowerPoint presentations and documents.Supplier evaluation criteria. Retrieved June 5, 2013, from http://www.slideshare.net/artacosta5/supplier-evaluation-criteria North Dakota State Government - Home. Retrieved June 5, 2013, from http://www.nd.gov/spo/legal/docs/rfp-evaluators-guide.pdfMore Articles From Project Management
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