Concepts

Tasks

Settings

Awarding RFQs

The last step in the RFQ life-cycle is to award the resources to one or more suppliers. An RFQ resource is awarded to either:

•	The number 1 supplier for the whole RFQ.

•	Each resource’s number 1 supplier.

The award process varies, based on the type of RFQ. For demand RFQs, awarding the RFQ performs the following:

•	Updates the resource demands with the selected supplier and price information. If a resource demand’s site currency differs from the currency in which the RFQ’s values are recorded, the values are converted to the currency used at the site where the demand originates.

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If there are no other open RFQs for the source document (work order or requisition), the document is notified that the RFQ process is complete. Depending upon the status of the source document, this notification either releases the document for approval (if the approval process is waiting for the RFQ process to be complete) or simply updates the document that the RFQ process is complete.

•	The supplier-resource prices from the RFQ are made available for use with future purchases.

•	If indicated, the supplier-resource prices for the other suppliers (the non-winning prices) are made available as alternate prices.

For catalog price RFQs, the following steps are performed:

•	A purchasing contract(s) is created for the winning supplier(s), if requested.

•	The supplier-resource prices for the awarded suppliers are made available for use with future purchases.

•	If indicated, the supplier-resource prices for the non-winning suppliers are made available as alternate prices.

Before awarding an RFQ, analyze it to determine the winning supplier or suppliers. For more information, see Analyzing Bids.

When the bid is awarded, you can view the resources and contracts in the RFQ’s Results view.

To Award an RFQ

1.	Open the RFQ.

2.	Select the Analysis view. On this view you can review the supplier rankings before awarding the RFQ.

3.	To award the RFQ, from the Tools menu select Award Bids. The Award RFQ dialog appears.

4.	Complete the options on the dialog that determine how the RFQ will be awarded, whether or not preferred supplier status will be given to winning suppliers, and whether any supplier bids should be accepted in your system as valid supplier resource prices.

Setting Name

Description

Award RFQ

Select how the RFQ will be awarded: • Award the entire RFQ to one supplier: The entire RFQ is awarded to the supplier shown in the box beside this option. APM displays the number 1-ranked supplier for the RFQ, but you can select a different supplier if necessary. • Award each resource to its winning bidder: APM awards each resource to the supplier that was ranked number 1 for the resource. Rankings can be determined by lowest cost, shortest lead time, or manually selected.

Create Contract

This option is relevant for bid-sheet RFQs only. Select one of the following options: • Create a new contract: The winning bids are used to create one or more supplier contracts. A separate contract is created for each supplier. Specify the expiration date for the contract. • Add to an existing contract: If a supplier contract already exists, you can add the winning bid to the selected contract. • Do not create a contract: No contracts are created from this RFQ.

Preferred Supplier Status

You can assign preferred supplier status to the winning suppliers for the resources on the RFQ. When a supplier has preferred status, they will be the default supplier selected on future purchase requirements for the resource. • Do not assign preferred status to any suppliers: The preferred supplier for each resource is not changed. • Assign preferred status to all awarded bids: The winning supplier is given preferred status for each resource on the RFQ. • Only assign preferred status to pre-selected bids: If you have selected particular resource bids to receive the preferred status, only the selected bids are assigned. You can pre-select bids by opening the supplier’s bid for any resource.

Resource replenishment rule

The replenishment review rule allows you to control whether or not resources replenished with this price require a manual review before the purchase order is generated. This option is set on the supplier resources created as a result of awarding the RFQ. • Replenishment review is required: The replenishment requisition must be reviewed before a purchase order is created. • Replenishment review is not required: The purchase order is automatically generated as soon as the replenishment requisition is marked as planned or approved.

Purchase order description rule

Select the default option purchase order resource descriptions. This sets the purchase order description setting on supplier resources created when the RFQ is awarded. • The supplier’s product descriptions are not used on purchase orders: The system uses the resource description as the purchase order line description, regardless of which supplier resource is selected. • The supplier’s product descriptions are used in place of the resource description: The system uses the description on the supplier resource as the purchase order line description (appears on printed purchase orders).

Valid Prices

You can have the system enter non-winning bids as alternate prices for the resources on the RFQ. This updates the supplier resource price for non-winning suppliers. • Do not accept any non-awarded bids as valid prices: The supplier resource prices for the non-winning suppliers are not changed. • Accept all bids: The supplier resource prices are updated for each resource and supplier on the RFQ. • Only accept pre-selected bids: If you have selected particular resource bids to accept valid prices, only the selected supplier resource prices are updated. You can pre-select bids by opening the supplier’s bid for any resource.

5.	When you have finished selecting the options, click OK. The system awards the RFQ as specified. The RFQ is now closed.

Tip: You can view the supplier resources and review the contract in the RFQ’s Results view.

6.	If you have created one or more contracts from the RFQ, you can review the contract properties. For more information, see Editing a Contract That Was Created From an RFQ.