Glossary

Request for Proposal

A request for proposal is a formal buyer document asking suppliers to propose a solution, scope, price, and approach.

A request for proposal is a formal procurement document used by a buyer to ask potential suppliers to propose how they would deliver a product, service, system, or project. In manufacturing and industrial operations, it commonly defines the business need, technical requirements, expected scope, commercial terms, evaluation criteria, and response format.

An RFP is often used when the buyer needs more than a simple price quote. Examples include selecting an MES, ERP integration partner, automation supplier, inspection service, outsourced process provider, or major equipment vendor. Supplier responses may include technical approach, implementation plan, assumptions, pricing, delivery schedule, support model, and evidence of relevant capabilities.

A request for proposal should not be confused with a request for quotation, which is usually focused on pricing for a defined item or service, or a request for information, which is mainly used to gather market and supplier information before a buying decision. In practice, the terms may overlap, but an RFP usually implies a structured evaluation of both solution fit and commercial terms.

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