- What do procurement managers do?
- Procurement manager career path
- Procurement manager salaries
- Qualifications & training
- Procurement manager skills
- Pros and cons of being a procurement manager
- Work-life balance
- Procurement manager employers
- Related jobs
- More information
Are you a keen negotiator who is always looking for the best deal? Do you have a keen eye for the next up and coming buying trends and want to work with competitive and strategic colleagues to secure that next winning contract? If you are a confident person with a keen eye for detail, then a role as a procurement manager may be for you.
Interested in a career as a procurement manager? Explore graduate opportunities in the Sales & Commercial sector and take your first step towards a career in this fast-paced role.
What does a Procurement Manager do?
Your job as a procurement manager will have you responsible for all purchasing and sourcing of products, as well as services provided. You will be the go-to person for the sourcing of suppliers, the drafting of contracts and the management of your chosen suppliers. Other tasks you can expect to do are:
- Supply level forecasting by watching trends and buying patterns
- Bid evaluation to make sure you are getting the best deal
- Assisting in marketing services provided by your company for more exposure
- Sourcing of components to make a final product, eg. sourcing the batteries for a smartphone
- Building relationships with suppliers
- Watching for changes in price trends and adjusting buying strategies
- Assist in the collection of data and give a presentation on areas for possible growth
- Assist in the development of effective cost-saving strategies
- Be the liaison between suppliers and internal teams to achieve the best outcome for your sellers and your company
- Offer competitive contracts to maintain a happy supplier portfolio
Procurement career path
Your career path in procurement depends on the type of sector that you’re interested in. After selecting your desired area of work, here are the typical steps that you take in a procurement career:
Entry-level
Your career begins as a trainee buyer/analyst. In this role, you will be in a team in charge of researching buying options, strategies, supplier communication and data forecasting. You will generally be placed on one of these specific aspects of the process however you can expect to be asked to go where you are needed the most, so flexibility is a must.
You will be focused on tasks such as putting together data research material and compiling this into reports for meetings or presentations. Another key focus will be searching for new vendors, collecting quotes and reporting these back to your team leader.
A successful trainee buyer/analyst will have a thorough knowledge of sales and purchasing. Good organisation will be key in order to turn out proper analysis and research. You can expect to gain experience in logistics challenges and learn about situations where the cost of what you’re buying can be affected. With this knowledge, you can expect to progress into a more leadership-focused role.
Career Progression
After demonstrating your skills and experience by working as a trainee buyer/analyst, you can progress to a procurement manager.
At mid-level, you have a good amount of experience in working with large scale suppliers and negotiating important contracts. You will be able to competently answer questions and provide training to junior or entry-level colleagues. You will also understand the needs of your suppliers and how these align with your business objectives thoroughly.
You will be responsible for overseeing most aspects of the process, including the identification of new suppliers, negotiating and coordinating contracts, delegating roles to your team and developing frameworks to improve your buying process in your company. You will communicate with other departments throughout your business frequently in order to develop key strategies that align service levels and cost management.
Future career
With a great amount of experience and good leadership skills, you could become a director of procurement. In this role, you will oversee the work of subordinate managers and trainees to make sure you are ensuring a high-quality level of work. You will suggest improvements for colleagues to make and use your vast experience to advise and support your team.
As a director, you will be responsible for all procurement output, even if you were not directly involved with negotiations or supplier research. You will be in charge of reviewing all research developed by your team and creating a plan of action that your team will execute. It will be essential for you to maintain communication across your team to be able to address any issues or concerns early on. The main goal of a director is to facilitate an efficient and competitive department that benefits the growth and development of your company.
Procurement manager salaries
Your salary in procurement will depend on varying factors including your level of experience, the location of the role and the type of sector you are working in.
- Your starting salary as a graduate trainee buyer is around £24,000 - £26,000 per year
- As a purchasing officer, the average salary is around £30,500 per year
- In a procurement manager role, you can expect an average of £43,000 - £53,000
- At top level senior positions, such as a procurement director, you can earn, on average, £110,000 to £158,000
Qualifications and training
Your entry into a procurement role requires you to have the relevant education and skills to succeed. Here’s what you need to start your career:
Higher education
You do not necessarily need a specific degree to go into a career in procurement, however, it is beneficial for your application if you have a degree in business studies, marketing, economics, supply chain management or engineering.
The degree you’ll need will depend largely on the sector you plan on going into. You need to have a good working knowledge of the sector you plan on working in. For example, if you’re looking at working for a company in the retail and FMCG sector, a company may prefer you to have a degree in business. Having a degree in a relevant field will be advantageous to your application.
Work experience
Many employers want you to have work experience before employing you so you understand the daily tasks within a procurement role. Some degree programmes include time in the industry which means working for a company's buying and selling team for some time typically during your second year of study. Some companies also provide a summer vacation scheme for you to shadow a procurement manager for a month or two.
You can get work experience from internships and time spent shadowing a Procurement Manager. If you’re looking for work experience, consider one of these procurement internships.
Apprenticeships
You can complete an apprenticeship in procurement to begin your career. Apprenticeships can either be within a company or a combination of company work and undergraduate education. Some companies pay for your degree education and pay you a wage for the work you do for them during the degree and offer you a job once the apprenticeship finishes.
If you’re interested in apprenticeships, try searching here for current procurement apprenticeship opportunities in England.
Professional qualifications
Professional qualifications can help you progress in procurement. You don’t usually need any professional qualifications before you get to an entry-level position. Professional qualifications are for demonstrating your skills to move up the procurement and supply chain career ladder.
Some employers like you to be a member of the Chartered Institute of Procurement & Supply (CIPS). For more information see CIPS - Accredited Degree & Programmes. You can also study for CIPS qualifications to become a full CIPS member.
Procurement manager skills
In a high-responsibility role like a procurement manager, you will be expected to have a certain number of skills to be able to carry out your role successfully:
- Communication. A main and continuous aspect of your job role will be to approach, negotiate and secure work with a variety of different personalities and people. You will need to communicate proposals clearly and concisely. You will also be expected to present data research in a way that is understandable across departments. Need some help when it comes to confident communication? Take this Bright Network Academy module on developing effective presentation skills.
- Business understanding. It’s beneficial to understand the ins and outs of what makes a company successful. You will be expected to communicate and work to the needs of many departments. If you understand their objectives clearly, you will understand how to plan out yours.
- Attention to detail. You will be in charge of putting together complex service agreements and buying contracts. Small mistakes on these contracts can be detrimental to your company's success and budget. You need to be able to pick up on small errors.
- Financial awareness. You should be able to identify financial trends and have a good working knowledge of stocks, exchange rates and product value. This will help you identify buying/selling trends and apply this to your decision-making process.
- Time management. Procurement involves many hard deadlines and a short turnaround for contracts. Effectively managing your time could reduce the amount of overtime that you work by structuring your working day effectively.
- Numeracy skills. In your research, you will be dealing with many highly detailed facts and figures to determine where the company puts their money. You will be expected to calculate profit/cost margins and produce quarterly reports.
Pros and cons of being a procurement manager
Pros
- A varied work schedule across many disciplines such as sales, marketing and client management
- Working with a results-driven team
- The possibility of worldwide travel
- Most companies have a procurement need, so there is plenty of work available across many sectors
- You are responsible for the development of amazing new products/services
- You will be able to work in most sectors, so you can find a role that matches your lifestyle
- You have a direct impact on your business profitability which can be rewarding
- You will be exposed to a diverse range of people and personalities, this will help hone your critical skills
- You will learn the importance of risk management, which can be applied to other aspects of your career
Cons
- You may be required to work unsociable hours to suit supplier timezones
- You are solely responsible for the smooth management of the supply chain. If a product you sourced doesn’t work, this can be a stressful situation to rectify
- You may need to be flexible in your work location to stay connected with buying trends and habits
- The potential to need to be on call for any issues that may cause delays in supplying a product
Work-life balance
The work-life balance within procurement tends to be standard working hours within the corporate world. The working environment is usually office-based however you may be required to travel to supplier sites to evaluate products and negotiate contracts. Worldwide travel may be expected to attend trade shows in your chosen sector.
You may need to work unusual hours to coincide with different time zones depending on the location of your suppliers. This can cause a level of stress due to the high level of responsibility across many departments and global time zones. In procurement, it’s important to focus on what hours would produce the most productivity, instead of being available to everyone at any time.
Procurement manager employers
There are many employers looking for talent in entry-level Procurement and supply chain roles. Here are some top companies for you to consider:
Related jobs
More information
Want to learn more about beginning your career in procurement? Learn about how Bright Network member Lucy took the next step to becoming a Buying Director for Aldi.