RFP

So you are thinking about putting out an RFP for TEM/WEM services. Terrific. Seems easy; as the Global Purchasing Manager, you reach for your standard RFP template, sift through some “independent research” to build and narrow a vendor list and send it out. Sounds easy, right. Or is it? Your standard RFP questions elicit canned responses from the usual players until you grab that one proposal that seems a bit different. This vendor’s answers weren’t really answers at all. In fact, most of your questions were answered with questions. And they didn’t even include a price for service. The nerve! Until you peel the onion back a layer. The vendor includes a note explaining the somewhat abnormal approach he took to filling out your RFP.

The note starts,” Thank you for including us in your RFP. We are sorry we weren’t able to answer most of your questions. Our process works a bit differently than most of our competitors. Without an accurate snapshot of your current state, we really can’t provide meaningful answers to your questions. Like many of our clients before they engaged our services, you really don’t have a handle on your current inventory as procurement is completely decentralized. Many employees have individual liable phones and T&E their bill each month. And there doesn’t appear to be a uniform policy in place. Without a clearer picture of your current state both from an inventory perspective and spend, we don’t feel comfortable quoting our services as we don’t really know what it is that you need. We never attempt to fit a potential customer into our standard boxes. Rather, we like to do an analysis of current state, thereby enabling us or any vendor you select to provide a meaningful quote of services. This service prepares the customer for RFP and ultimately streamlines the implementation process. Our pre-RFP service is charged on a time an materials basis….”

Wow! That was unexpected. But should it be? How can a vendor respond to an RFP when they have no idea the level of service you truly need. Let me restate that: how can a company put out an RFP when they have no idea of what they currently have in inventory, how bills are processed, how policy is developed and communicated and what level of service they need? This lack of knowledge on the side of the client and the flawed process and communication initially leads to many of the delays that often happen during implementation. Why not take a page out of the management consulting handbook and do a diagnostic analysis before making the vendor selection and service level decisions. Makes sense to me.