Request for Information Construction Definition

The Overview section should be written to describe an organization`s goals, such as what to look for for both short- and long-term goals. Basic information should be listed here, such as introductory information about the applicant`s organisation. At the end of this section, the vendor should know who the organization is and that the document is an RFI. For large construction contracts, a project manager often reviews inquiries and mediates the construction inquiry process. Since many people are involved in these large projects, including design, engineering and contracting teams, all parties typically process enquiries electronically and keep records of these documents and their responses. Each team should have an established process for assigning RFI responsibilities to a team member. Given the number of unanswered requests for information, all construction companies can greatly benefit from a few simple guidelines. An RFI is usually the predecessor of a Request for Quotation (RFP). The purpose of a Request for Quotation (RFP) is to request information from suppliers about the price of their product or service. Having an effective construction inquiry process in place at the start of a project can reduce friction, costs and delays.

Owners should include DDR procedures in construction contracts to ensure that all parties are aware of them. Use an electronic tool to improve the organization of your RFIs and follow these construction RFI best practices: Requests for information have a variety of functions, but some are very common in construction. However, the attitude of many construction workers towards the tool has become negative, as RFIs are often used as a method of increasing profits through claims. They can also be used to create a paper trail to claim cumulative impact delays, negligent design, or other similar actions. This abuse of a necessary and contractual process creates major problems in the industry. While RFI is a necessary tool to keep everyone on the same page, it can be abused by parties who want to make false statements and create unnecessary paper trails to blame other parties for delays and lack of information. Allegations of bad faith resulting from excessive inquiries have created an unfortunate stigma around a necessary tool created for communication and clarification. Building Information Modeling (BIM) is expected to provide the entire project team with access to better, more complete and better coordinated information, significantly reducing the need for RFIs. A survey conducted by the Navigant Construction Forum examined the impact of DDR on 1,300 projects worldwide. The study was conducted to measure the impact of DDR management on construction projects and to make recommendations on how to reduce the number of DDRs and their potential impact on projects. A construction RFI should not be confused with a Request for Quotation (RFQ) or Request for Proposal (RFP), both of which are an invitation to participate in contract negotiations.

The report found that for each $1 million project, there were approximately 9.9 applications, with an average of 9.7 days between the creation and completion of an RFI. The cost of each RFI was reduced to approximately $1,080 and 21.9% of the RFIs in the sample received no response. As a subcontractor, you need to consider not only your direct costs, but also the costs incurred by the relevant stakeholders. Each RFI costs the recipient approximately $1,000 after administrative and professional costs. This should not prevent the subcontractor from submitting the required RFIs, but the subcontractor should only attempt to submit RFIs if the response is not clearly included in the documentation previously provided. This allows the subcontractor to establish positive working relationships with all parties to a construction project, which can lead to long-term business relationships and positive word of mouth. This example uses a simple RFI template and shows a general contractor requesting information from the project engineer because the plan specifications were unclear. There are many ways to structure this type of request, but most professionals agree that simpler is better. It may be necessary for the party receiving the RFI to obtain additional information from parties with whom it itself has a contractual relationship in order to provide a response. It is recommended that this information from other parties be included in the response to the initial RFI. This can create a chain of information where, for example, a subcontractor requests information from the prime contractor, who in turn requests information from the client`s consulting team, etc.

It may then be appropriate to disseminate the responses and any accompanying explanatory materials throughout the project team. An RFI is required when information from clients, developers or other stakeholders is inadequate, raises questions or requires clarification. According to Navigant`s research, the average construction inquiry costs about $1,080 to review and respond. This process also takes a median of 9.7 days. Contractually the obligation to respond to an RFI arises from the obligation to provide the additional information necessary for the other party to conclude the contract in a timely manner. However, requests should be sufficiently informed to allow the party providing the information to allocate resources and prepare a response until the date on which the information is needed. The parties are then entitled to rely on the accuracy of the information provided. For organizations or projects that do not have a formal template, software or guidelines for creating and submitting a new request for information, individuals can be linked to exactly how to formulate an effective RFI.

Here are some best practices that come from experienced construction professionals to develop an effective application: New technologies provide a great tool to improve the efficiency of construction management processes, and almost all construction management software includes functionality to manage the RFI process. It is important to check whether all relevant information (see point above) is contained in a possible software solution.