103 - Introduction to Request for Proposals (RFP)

Question 1

Annual Recurring Escalation Costs

Answer 1

Service or maintenance which involve increasing amounts of work. Frequent replacements that escalate at a rate different than inflation.

Question 2

Annual Recurring Fixed Costs

Answer 2

Fixed payment service contracts with inflation adjustments. Preventative maintenance.

Question 3

Competition

Answer 3

The existence within a market for some good or service of a that no single market participant has enough influence to determine the going price of the good or service.

Question 4

First

Answer 4

Investment Costs, Construction Costs, Purchase Price

Question 5

Future Investment

Answer 5

One time investments occurring after the start of the analysis period

-Non-Annual maintenance or repair -Major alterations to initial investment

Question 6

IFB

Answer 6

Invitation for Bid

Question 7

Independent Evaluations

Answer 7

Are completed by each committee member independently to ensure that each member is heard, considered, and documented.

-Avoids undue influence via groupthink

Question 8

Market Demand

Answer 8

Refers to how much (quantity) of a product or service is desired by buyers.

-the relationship between price and quantity demanded is known as the demand relationship

Question 9

Market Intelligence

Answer 9

The process and result of gathering and analyzing information about the aggregate forces at work in trade and commerce in a specific commodity or service

OR

information or data that is derived by an organization from the market it operates in or wants to operate in, to help determine market segmentation, market penetration, market opportunity, and existing market metrics

-used to assess entry opportunities and to formulate development plans

Question 10

Market Research

Answer 10

a process for gathering and analyzing data on industries, markets, and suppliers for the purpose of aligning the needs of an enterprise with the right suppliers

-used for key factors such as quality, delivery, cost, and other key performance indicators

Question 11

Market Share Distribution

Answer 11

A company’s portion of sales within the entire market in which it operates

Question 12

Market Supply

Answer 12

Represents how much the market can offer of a certain good

Question 13

Marketing

Answer 13

The activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers

Question 14

Price

Answer 14

Reflection of supply and demand

Question 15

Primary Market Research

Answer 15

research you conduct yourself, rather than information you find already published

Question 16

Responsible Bidder

Answer 16

Vendor who has the capability (in all respects) to perform the contract requirements and assure good performance

Question 17

Responsive Bidder

Answer 17

Vendor who has compiled with all elements of the IFB

-requires Procurement Officer to determine whether a bid/proposal complies with the solicitation

Question 18

RFI

Answer 18

Request for Information

Question 19

RFP

Answer 19

Request for Proposal

Question 20

Risk Analysis

Answer 20

Identification of possible negative external or internal conditions, events, or situations

Question 21

Salvage Value

Answer 21

Scrap value of equipment at end of its useful life

Question 22

Secondary Market Research

Answer 22

When information comes from secondary sources that are already published or available

Question 23

Stakeholder

Answer 23

A person with an interest or concern in something, especially a business

Question 24

Sunk

Answer 24

Design fees, Funds irrevocably committed