The RFQ That Gets One Clean Quote: Twelve Parameters
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An enquiry that says "please quote for ursodeoxycholic acid, EP grade, 100 kg" will produce three replies and none of them will be comparable. Each supplier will fill the gaps with its own assumptions about packaging, testing, documents and delivery, and the prices will reflect those assumptions rather than the material.
The fix is not a longer email. It is a shorter email that states the twelve things which actually move a quote.
The twelve parameters
| # | Parameter | Why it changes the quote |
|---|---|---|
| 1 | Substance name, CAS and the monograph with its version | Establishes which specification applies, and version matters |
| 2 | The specification, line by line | "EP grade" is a family, not a set of limits |
| 3 | Quantity, and whether it is one lot or several | Campaign size drives unit cost and lot structure |
| 4 | Packaging and fill size | Container, liner and fill are specified and priced differently |
| 5 | Intended use and destination market | Determines the documents and the regulatory route |
| 6 | Documents required with the shipment | COA, safety data sheet, origin, declarations, stability |
| 7 | Whether the supplier's methods are acceptable | Method transfer or cross-validation is real work |
| 8 | Physical parameters: particle size, bulk density | Often outside the monograph, and always outside the price |
| 9 | Special impurity requirements | Additional testing or tighter limits change the process |
| 10 | Delivery point and Incoterms | Freight, insurance and risk transfer sit here |
| 11 | Quality agreement expectations | Audit rights and notification duties carry a cost |
| 12 | Sample requirement before the order | Sample cost and lead time are frequently omitted |
The three that cause most of the damage
Any of the twelve improves comparability. Three of them decide whether the quotes are comparable at all.
Parameter two, the specification line by line. "EP grade" describes a monograph, not a limit set. Two suppliers can both claim it while one tests the full monograph and the other tests a reduced panel with the rest taken from historical data. The difference is invisible until you compare certificates after delivery. How to close that gap is set out in supplier specification against in-house specification.
Parameter five, the destination market. A destination determines which documents are legally required, and a supplier who quotes without knowing it quotes for a generic case. Ask for a quote that names the documents, not one that promises support.
Parameter ten, the delivery point. A price without an Incoterm is a number without a location. Two quotes can differ by the entire freight cost and the difference is not about the material at all.
How to write it
A single table in the body of an email, one row per parameter, works better than prose. Suppliers respond to structure because it can be forwarded internally without rewriting.
Three practical conventions make the table useful.
- State what is fixed and what is negotiable. A supplier who knows a limit can move will propose an alternative; one who does not will decline quietly.
- Ask for the price at two quantities. The answer reveals the campaign structure without asking about capacity directly.
- Ask which of the twelve items the supplier cannot meet, rather than whether it can meet all of them. A list of exceptions is more informative than a yes.
What to do with the replies
Three checks separate a usable quote from a polite one.
Does it repeat your specification back? A quote that restates your limits has been read. A quote that says "as per EP" has been templated.
Does it name the documents? Vague promises of "full documentation" resolve into arguments at the shipping desk. Our note on the first-order document pack lists what should be named.
Does it state validity and what the price excludes? A price without an exclusion list is a price with an unknown inclusion list, and the unknown part is where the second conversation happens.
The cost of a bad enquiry
It is not the three emails. It is the comparison that follows: three prices, no basis for choosing, and a decision made on the number that happens to look most reasonable. That decision is then defended for a year.
Twelve rows in a table takes twenty minutes and removes most of the ambiguity from a process that otherwise takes weeks. It also changes the conversation with the supplier, from what the price is to what the price contains, which is the only version of the conversation worth having.
For what should arrive with the first shipment, see the first-order document pack. For the checks that catch contradictions once the certificate arrives, see COA internal consistency.
Primary sources: the European Pharmacopoeia for the monographs that specifications reference, ICH Q6A for how specifications are set and justified, and the ICC Incoterms rules for the delivery terms that belong in parameter ten.
What a vague enquiry actually produces
It produces three replies that each look responsive and each answer a slightly different question. One quotes against the full monograph with a complete document set and prices accordingly. One quotes against a partial panel and leaves documentation to be discussed. One quotes a range with conditions attached, which is honest and impossible to compare with the other two.
The problem is not that any supplier behaved badly. Each filled the gaps with its own operating assumptions, because the enquiry had gaps. Twelve rows would have removed them, and the twenty minutes that takes is the cheapest part of the whole procurement cycle.
There is a second effect worth noting. A precise enquiry changes what a supplier sends back. Instead of a price with a note, you tend to receive a specification review, a document list and a statement of what cannot be met. That is a technical response rather than a commercial one, and it is a far better basis for choosing than a lower number.
Frequently asked questions
How long should an RFQ be?
Short enough to be read and structured enough to be forwarded. A one-page table covering the parameters that change the price is more effective than three pages of background.
Is it acceptable to send the same RFQ to several suppliers?
Yes, and it is the reason to make it precise. Identical inputs produce comparable outputs, which is the entire point of the exercise.
Should I state a target price?
Usually not on the first enquiry. A target invites a quote built around it. Ask for the price at two quantities instead, which reveals the cost structure without anchoring it.
What if I do not know which specification I need?
Then say so and describe the use. A supplier who understands the application can propose a specification, and that proposal is more useful than a guessed limit set.
Do suppliers prefer a formal RFQ document?
They prefer clarity. A structured email is often answered faster than a PDF form, because it can be pasted into an internal quotation template without retyping.
How do I compare quotes with different Incoterms?
Convert them to a common basis before comparing, or ask each supplier for the same term. A DAP price and an FOB price are not two prices for the same thing.