Draft RFP Guidelines for All.for.Life Requirements

All for Life Case Part 2 Groups Issuing the RFP Part 2 Draft RFP In Groups List Each Section 1-5 & Add Answers SCM 5004 1

Background Draft RFP All for Life Part 2 Rashid Khan and Anton Nelson stood back from the white board in the conference room. They had spent the morning developing the go to Market requirements to replace the aging and unreliable Material Handling Equipment (MHE) at All for Life Inc. Rashid turned to Anton what I need from you is a first draft of the RFP. Absolutely said Anton! Is there a template or a process to follow?. Rashid peered over his glasses and said perhaps you should spend some time with Bob Bell as he can clarify. Now Remember Rashid, clarity and structure are crucial for an RFP. If you do a poor job on the RFP, evaluating vendor responses will be difficult. Don t forget the evaluation criteria must be included so vendors know how they will be scored. Rashid closed by telling Anton, this is a chance to show us what you can do for AFLI! The process and new MHE is expected to be completed and all MHE on site within 6 months. SCM 5004 2

All for Lifes Requirements Needs: Go to Market: Software to track fleet Lift truck (s) Quality MHE but not top of line No break-downs good maintenance program Spare parts Conduct an operational review. Recommend a MHE fleet composition that meets operational requirements for cost, flexibility, and quality. Provide fleet management, training, and maintenance services. Evaluation Criteria: Fleet evaluation Training program Low TCO Dealer after sales support Good warranty Dealer with strong financial record: low risk Multi-year support from dealer Lowest TCO over three year term. Contract T&C s including flexibility to return equipment or alter fleet composition. MHE quality based on independent industry reviews and benchmarks. Dealer strength including financial health. Demonstrated ability to manage fleet operations to predetermined downtime targets. Note: the Needs have translated into an outsourced fleet management solution rather than simply specifying a lift truck. SCM 5004 3

Draft RFP Guidelines Additional Support Note Do not Download RFP templates from the Internet! Complete only the first 5 sections for your Draft RFP. The AFLI team has a target start up date of six months (Plenty of time) (plenty of time for the process to acquire new MHE for AFLI) The RFP has to convey the following information to prospective suppliers: Who is issuing the RFP? What is their business? Why is the organization going to market? What is required? Be open here to welcome supplier input and leverage of their core competencies. What must the supplier provide? How will the selection be made? What is the process? What is the timing? There should be no confusion as to due dates, when the contract will be awarded? When is the start date? SCM 5004 4

Draft RFP Sections for completion Part 2 1. Purpose and Background 2. AFLI s Requirements 3. Vendor Instructions 4. Evaluation & Timing 5. Contract Terms & Conditions 6. Appendix. (Not Required-do not complete) Part 2 Draft RFP Due: Week 7, 12:00 PM EST, Noon (or earlier). Complete Sections 1 to 5 only. SCM 5004 5

Section 1 Purpose and Background Company Background: Brief overview of AFLI and its business. Purpose of RFP: Brief overview of goods/services for which AFLI is going to market. Procurement Rationale: Outline why AFLI is going to market. SCM 5004 6

Section 2 AFLI s Requirements Statement of Work (SOW): For services, detailed explanation/list of what work is required by AFLI. Explain what the vendor will be responsible for providing/doing. Deliverables: Describe any specific deliverables that will be required from the vendor (reports, documents, products, equipment, etc.). For goods, ensure proper methods of specification are used (engineering drawings, markets grades, samples, etc.) Performance Standards: Describe any performance measures, metrics, and/or Service Level Agreements (SLA) that apply to the delivery of the goods or services. Performance Management: Explain the method for measuring performance and how any defects in performance (or product quality) will be corrected. SCM 5004 7

Section 3 Vendor Instructions RFP Response Format: Describe the format and structure of the response required from the Vendor. Include tables, spreadsheets, lists, etc. if needed to ensure the responses from each vendor will be formatted consistently to aid evaluation. Contact Information: Provide the contact details for the responsible purchasing individual within AFLI. Applicable Regulations: Unlikely for AFLI, but for government purchasing there may be governing regulations and laws that the vendor must be compliant with. SCM 5004 8

Section 4 Evaluation Process and Timing Schedule: The time, date, and location for milestone events: document submission, vendor meetings, site visits, etc. Vendor Questions: Explain the method for handling vendor questions; indicate if responses will be shared with all vendors. Evaluation Method: Describe the evaluation criteria (and weights) that will be used to select the winning vendor. Outline any other requirements for the awarding of contract (certifications, regulatory compliance, etc.) Post Selection Next Steps: If appropriate, explain what will occur after vendor selection. SCM 5004 9

Section 4 Evaluation Process and Timing Schedule: The time, date, and location for milestone events: document submission, vendor meetings, site visits, etc. Vendor Questions: Explain the method for handling vendor questions; indicate if responses will be shared with all vendors. Evaluation Method: Describe the evaluation criteria (and weights) that will be used to select the winning vendor. Outline any other requirements for the awarding of contract (certifications, regulatory compliance, etc.) Must include Pricing Evaluation based on Vendor s pricing submission Post Selection Next Steps: If appropriate, explain what will occur after vendor selection. SCM 5004 10

Section 5 Contract Terms & Conditions Contract Duration: Indicate duration (start date, stop date) and/or spending limits on the contract. Outline any renewal terms if applicable. Terms and Conditions: Indicate applicable governing law (e.g., Province of Ontario). Standard contract terms for warranty, breach, termination, intellectual property, etc. This section may be lengthy for complex procurements. Pricing, Payment, Incentives, Penalties: Explain the required structure of pricing along with performance standards required for full payment, penalties, and/or incentive payments. SCM 5004 11

Section 6 (Do not Complete) Appendix Not Required to complete for AFLI Part 2 Draft RFP Normally an Appendix will exist which would include any schedules, forms, etc. that are necessary for the formal RFP document. For this assignment groups are not required to complete a draft for the Appendix. SCM 5004 12

Part 2 AFLI Draft RFP Draft RFP 5 Sections Outline each Section # and title followed by group draft thoughts. Submission in word document. One per Group - include your Group # and Names Use Word document SCM 5004 13