18 Must-Have Negotiation Skills For Procurement Professionals
Procurement Executive — The Ultimate Guide of 2023
Having a procurement executive in your company will determine the success of your procurement process. However, many newbies in the procurement field are wondering what is the role of a procurement executive. Some even confuse it as procurement director due to the word “executive” in it.
In this article, we will discuss what a procurement executive is. We will check what are the job responsibilities and duties of procurement executives. Additionally, we will unravel what it takes to be a procurement executive.
After reading this article, you will have a deeper knowledge of the role of a procurement executive. Additionally, this will allow you to see them from a new perspective that will improve their standing in the field of procurement.
Whatis a Procurement Executive?
In the world of procurement, there are many job titles you can select or choose to consider before diving in.
Additionally, you may find that there are different job titles for each company but the duties are just the same. Quite frankly, it is confusing but you will be used to it once you start your journey in procurement.
Procurement executives are known as purchasing agents or buyers in some organizations. They work for an organization to buy goods and services that it needs for its daily operation. Additionally, it is their job to get the best products at the lowest possible prices.
Purchasing agents are responsible for negotiating and evaluating with the suppliers. They must have a keen eye for seeing opportunities with their potential suppliers to get the lowest price possible.
Purchasing agents are tasked with sourcing direct and indirect materials requested by different departments in an organization.
Some purchasing agents are required to communicate with the suppliers for timeliness in delivery. Also, they coordinate and monitor all purchases to avoid shortages, breakage, and overcharges.
A senior procurement executive manages procurement operations. Senior procurement executives ensure that quality standards are followed in every procurement process.
It improves processes by giving advice on sourcing strategies to ensure that the materials will be delivered promptly.
Functions of Procurement Executivesand their Work Environment
The main function of a procurement executive is to predict what the customers want to buy. If its prediction is incorrect, then it will negatively affect the profitability of a company.
Its other function is to check the stocks and sales levels and compare the sales activities of other companies. Additionally, it oversees the market trends to see what people want to buy.
For the most part, procurement executives work in pleasant offices of their organization. Usually, the standard work for a procurement executive is 40 hours per week. However, overtime is common, especially for holidays and peak seasons.
According to salary.com, the average global supply chain and procurement executive salary in the United States is $260,390 as of May 27, 2022.
However, the typical salary of a procurement executive ranges from $221,690 to $312,290. The salary of a procurement executive depends on so many factors like education, years of experience, and certifications.
Additionally, the salary is also dependent on the country in which the procurement executive resides.
What does it Taketo be a Procurement Executive?
Being a procurement executive does not just mean that you apply for that position. Many companies have requirements in choosing a procurement executive for their organization. The following are some of the most frequent qualifications to apply as a procurement executive:
- Large companies prefer their candidates to have a bachelor’s degree. For the most advanced position, the company may require you to have a master’s degree.
- Diploma or degree in Operation Management, Supply Chain Management, Technology Management, Business Administration, or equivalent education.
- Some companies prefer that applicants have 1 to 2 years of experience working as a purchaser.
- Excellent communications and negotiation skills with suppliers and internal customers.
- Proficiency in CRM and inventory management software programs.
Responsibilitiesof Procurement Executives
A procurement executive does not entirely consume their time working closely with a purchasing manager. The following are some of the responsibilities of a procurement executive:
+ What is a procurement executive?
Procurement executives are assigned to buy goods or services for the daily operation of the organization.
+ What is the salary of a procurement executive?
In the United States, the average salary of a procurement executive ranges from $221,690 to $312,290.
+ Do companies accept applicants without a master’s degree?
Yes. Usually, companies accept applicants with a bachelor’s degree. Some even accept fresh graduates as procurement executives in their organizations.
Negotiation Course For Procurement Professionals
You'll get a certificate after completing the course
Rated 9.2/10 ★★★★★