SPHR Human Resources

Category - Strategy

Which of the following statements about RFPs is true?
  1. RFPs should be written in a broad and open ended manner.
  2. RFPs should not initially request information relative to the vendor’s estimated costs.
  3. Only government contractors or subcontractors need to use RFPs.
  4. RFPs can be used relative to a variety of organizational problems.
Explanation
Answer - D - RFPs can be used relative to any function, task, or project that the organization is considering outsourcing.

Key Takeaway: Option A is not the best choice because writing RFPs in a highly structured manner increases the likelihood that the proposed solutions are responsive to the organization’s specific needs. A structured approach also facilitates the process of comparing RFPs that are submitted from multiple vendors. Option B is not the best choice because seeking information about pricing ensures that a company will not waste time by entertaining solutions that are cost-prohibitive. Option C is not the best choice because RFPs should be used by all organizations that are considering any kind of outsourcing; the process is unrelated to whether or not the organization is a government contractor or subcontractor.
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