How to run an RFQ with several factories without drowning in spreadsheets
Sending the same request to five factories is easy. Comparing five replies in five formats is where the time goes. A little structure up front saves hours on every order.
1. Send one request per factory, with everything on it
List every product and every colourway or option on one request, with the quantities you want priced (for example 5,000, 10,000 and 25,000). Factories reply once, and nobody misses a colourway.
2. Fix the unit and the terms
State the unit (per piece or per 1,000), the delivery term and the currency you accept. Replies then line up without re-typing.
3. Compare at the same quantity and currency
Convert each reply to your selling currency at your costing rate and compare at each quantity. Mark the lowest cost, but look at lead time and quality history too.
4. Freeze the price
Once you choose, freeze the cost for that product so everyone quotes from the same number. If the customer changes something that moves the cost, treat it as a new version with its own price instead of editing the old one.
5. Keep the history
Next season the first question is "what did we pay last time?" Keep every request, reply and frozen price with the product.
BOEY builds one RFQ per factory with every colourway on it, compares replies in your currency with the margin, and keeps one frozen price per product. See the sourcing desk.