Procurement Analyst Job Description

Procurement Analyst Job Description, Skills, and Salary

Are you searching for a procurement analyst job description? Get to know about the duties, responsibilities, qualifications, and skills requirements of a procurement analyst. Feel free to use our procurement analyst job description template to produce your own procurement analyst job description. We also provide you with information about the salary you can earn as a procurement analyst.

 

Who is a Procurement Analyst?

Procurement analysts operate as intermediaries between their companies and suppliers to secure advantageous contracts. They generate monthly supply cost reports, negotiate contracts and assess and examine prospective suppliers. They are primarily used by businesses whose methods of product distribution rely on supply chain management.

For their organization to run efficiently, procurement analysts are in charge of finding and buying the goods and services they require. They frequently collaborate with suppliers, distributors, and other outside service providers to make sure that their business is getting the best deal possible.

Additionally, procurement analysts could be responsible for keeping an eye on the caliber of the products or services they’re purchasing. This can entail inspecting incoming shipments to make sure they adhere to quality control standards or auditing vendors to make sure they’re meeting particular standards.

 

Procurement Analyst Job Description

What is a procurement analyst job description? A procurement analyst job description is simply a list of duties and responsibilities of a procurement analyst in an organization. Below are the procurement analyst job description examples you can use to develop your resume or write a procurement analyst job description for your employee. Employers can also use it to sieve out job seekers when choosing candidates for interviews.

The duties and responsibilities of a procurement analyst include the following:

  • Ensure that the company’s purchasing requirements are met by coordinating with internal departments.
  • Review vendor proposals for potential new contracts, assess potential partners, and engage in talks with chosen partners.
  • Conduct market research, and analysis to find potential suppliers who could meet the needs of the company.
  • Initiate negotiations with suppliers on the company’s behalf.
  • Keep track of every purchase order, invoice, payment, and other accounting document associated with procurement activities.
  • Examine purchase orders to ensure that all terms, conditions, quantities, shipping guidelines, etc. are following company policies.
  • Help the business create a strategic sourcing plan that is in line with its goals.
  • Ensure that the procurement process runs smoothly, and inform vendors of the company’s standards, policies, and practices.
  • Ensure that all national, state, and international laws and regulations that apply to procurement activities are followed.
  • Serve as a liaison and inform suppliers and vendors about pricing and performance requirements.
  • Identify vendors and examine product samples.
  • Record the characteristics and advantages of goods and services.
  • Prepare reports on cost-benefit analysis for managers to evaluate.
  • Negotiate advantageous purchase agreements with a few chosen suppliers and vendors.
  • Create process documentation and monthly supply cost reports.
  • Keep an eye on the company’s product demand to prevent shortages of supplies.
  • Keep up with developments in the industry involving vendors and suppliers.

 

Qualifications

Some of the prerequisites frequently needed to become a procurement analyst are the ones listed below:

  1. Education: A bachelor’s degree in business administration, supply chain management, operations management, or a similar discipline is often required for procurement analysts. To boost their earning potential and become eligible for senior-level positions, some procurement analysts decide to get a master’s degree in business administration.
  2. Experience and training: For the most part, procurement analysts learn their role’s specialized practices and procedures on the job. A senior procurement analyst or another senior employee of the procurement department may serve as a mentor throughout training, and duties may be performed under their supervision. From a few weeks to a few months, training can be required.
  3. Licenses and certificates: Although certification is not often required for an occupation, it can be a useful method to highlight your talents and credentials to employers or potential employers.

 

Essential Skills

Requisite abilities required to become a procurement analyst include all of the following:

  1. Effective Leadership: A procurement analyst may connect with stakeholders, handle daily tasks, and develop action plans with the aid of leadership abilities. Procurement analysts may also allocate department purchasing responsibilities and train new personnel within the purchasing team, depending on how many departments they oversee. They might also be in charge of mentoring, job rotation, and cross-functional training for their purchasing teams. The majority of material purchases are also handled by procurement analysts, therefore they frequently take the lead in a company’s or department’s resource allocation process.
  2. Effective Decision-Making: To make the best decision for the company or department, a procurement analyst must possess the ability to make a quick decision. To decide whether to continue doing business with the same provider and how much to renew an item for purchase, they may use their decision-making abilities. They know how to make decisions based on what is best for the department’s clients, suppliers, and stakeholders, and they may decide to hire new ones as necessary.
  3. Effective time management: Procurement analysts frequently have strong time-management abilities and create procedures to preserve office productivity. For instance, if they are in charge of several departments, they might plan meetings with them at specific times or delegate work to others, according to the demands of each department. They might also keep track of how long it takes for production department purchases to get to various places.
  4. Project administration: Project management abilities are necessary to oversee and organize a project since procurement analysts may manage projects allocated to many departments. They could make up for project requirements or set aside more money for project requirements. They may also need to plan purchases for numerous projects and develop budget needs if they are simultaneously managing multiple departments.
  5. Technical expertise: Procurement analysts frequently have a thorough understanding of the supply chain in their industry, and they may make use of their understanding of the products, raw materials, and manufacturing techniques that are necessary for a business to succeed in that sector. For instance, a procurement analyst for a garment manufacturing company would use technical expertise in clothes manufacturing and materials.
  6. IT competency: The knowledge and aptitude for using software and technology are known as technical skills. This includes having an understanding of software, hardware, and computer programs and having the skills to use them to execute tasks. Project management software, spreadsheets, databases, and other tools are frequently required by procurement analysts to carry out their duties.
  7. Strong communication abilities: The people and organizations that procurement analysts interact with include fellow procurement analysts, suppliers, managers, and clients. Procurement analysts can communicate information properly and provide accurate answers to queries by having strong communication skills.
  8. Excellent problem-solving abilities: The issues that develop during the purchase process are resolved by procurement analysts using their problem-solving abilities. For instance, if the source is no longer available, they could need to identify substitute suppliers or figure out how to make a product less expensive.
  9. Abilities to think critically: The ability to critically assess a situation and come to a judgment based on the available data is known as critical thinking. When deciding how to buy goods and services for their company, procurement analysts exercise critical thinking abilities. Additionally, they use their critical thinking abilities to negotiate the best prices with suppliers and look for methods to save money.
  10. Business acumen: Understanding a business’s needs and knowing how to address them are two characteristics of business acumen. Business savvy is used by procurement experts to find the best items for their organization, bargain with suppliers, and draft contracts that satisfy the demands of the company.
  11. Business Ethics: Applying moral standards to the workplace is referred to as business ethics. The fact that unethical procurement methods, such as bribery, unlawful sourcing, or bid rigging, can get firms into serious difficulties with clients, shareholders, and regulatory bodies, put this expertise at the top of the list. Business ethics are essential for accomplishing goals for social welfare, supplier fairness, and corporate sustainability, not merely for avoiding misconduct.
  12. Ability to work well in a team: Being a team player entails demonstrating dedication to the company, its mission, and coworkers. Reliable, responsible, and adaptable people are team players. They keep themselves accountable, are honest about their limitations, and are prepared to take on more duties or put in a few extra hours as needed. Being a team player increasingly also entails actively demonstrating collaboration and friendliness toward external coworkers and business partners.
  13. Strong research abilities: Analysts in procurement who has research skills can learn about markets, costs, and risk management. Analysts in procurement may also weigh the pros and downsides of purchases, usually to aid in forecasting likely future outcomes and suggesting strategies to increase capital. Before making judgments about buying new materials, they might also be in charge of researching potential new vendors or businesses.
  14. Data analysis: They often use this data to inform their judgments, lower potential hazards associated with material and forecast future demand influx. The data they examine typically relates to past and upcoming departmental purchases. Procurement analysts are aware of how to present data in meetings and how to transform data into visual figures such as charts, tables, and spreadsheets. To completely describe a scenario, they may also need to express wants and concepts to other department executives about upcoming decisions or purchasing plans.
  15. Purchase forecasting: Possessing adequate purchase forecasting abilities might be beneficial for procurement analysts who may need to strategically purchase goods following marketing forecasts. They can choose when to buy by being aware of the broader economic climate for a certain good and the company’s current situation. For instance, if a department budget has extra money available, it can be a smart idea to stock up on various materials.
  16. Talents in risk management: Procurement analysts can forecast, manage, and avoid risky events within a department by having strong risk management abilities. By selecting clients who share their values, monitoring investments, comprehending pricing, and assessing digital risk factors, they can reduce their risk exposure. Procurement analysts are aware of the value of risk management abilities because they can aid in decision-making and the creation of a productive workplace. They can also enhance their policies by remaining current and analyzing present risk practices.
  17. Sustainability skills: Sustainability expertise is a competence that procurement analysts have and apply when repurchasing supplies for a department that manufactures or tests items. For instance, if a department is required to create and test a certain number of things each month, a procurement analyst makes sure that the department has access to enough supplies to do so. If procurement experts anticipate a bigger quota shortly, they may place excess material orders. They employ sustainability management practices to determine when they might need to make purchases and when they can make use of their current surpluses.
  18. Global marketing skills: To support department demands, procurement analysts may require varying levels of worldwide marketing expertise, depending on the department or firm. Even if the department does not demand worldwide marketing strategies, procurement analysts can promote creative connections with global suppliers. The ability to localize and understand different cultures can help a procurement analyst interact with foreign suppliers effectively and open up new options.
  19. Innovation: Although they might not create new technologies or methods for manufacturing things, procurement analysts might be creative in terms of supplier developments and product improvements. Their understanding of supplier developments and keeping up with any news that might have an impact on a department’s future purchases can be made easier with innovation skills. For instance, if a new product drives down the cost of material, procurement experts may be aware of this right away and make a hasty purchase. Procurement analysts need to be creative with their purchases to maintain their departments and gain surplus or analyze a stock.
  20. Understanding of KPI analysis: Since they deal with departmental quotas, procurement analysts often comprehend the KPIs of a department (KPIs). Despite sharing certain similarities with quotas, KPIs are distinct since they frequently relate to immaterial items, such as processed files or finished activities. A procurement analyst can learn about a department’s business habits and better prepare for their developments by understanding the department’s KPI.

 

How to Become a Procurement Analyst

  1. achieve a bachelor’s degree: You might be able to start working as a procurement analyst after graduating from high school, but most employers prefer individuals with bachelor’s degrees in business administration, economics, banking, and finance, among other relevant fields.

To assist you to advance your technical abilities, you can enroll in a range of courses. You can learn more about the supply chain, corporate logistics, and procurement process by taking business classes. You might improve your analytical reasoning with math classes. You could improve your communication abilities by taking English and language classes to work with other supply chain experts.

  1. Consider pursuing a master’s degree: For this employment, a master’s degree might not be necessary, however certain employers might insist on or prefer candidates with graduate degrees. Take into account obtaining a Master of Business Administration (MBA).
  2. Obtain experience in a role at the entry level: Consider working in entry-level employment to obtain experience after completing your school. Through on-the-job training, a lot of procurement analysts pick up technical supply chain knowledge. When applying for entry-level positions to help you gain experience in a relevant industry, take your career goals into account.
  3. Consider earning certification: Although it might not be required for this career, a credential might help you land a challenging or advanced position. A certification might demonstrate to a potential employer that you have finished specialized training. To increase your technical skills, look into the supply chain and procurement certifications.

Here are a few popular certifications you might want to look into.

    • Certified Purchasing Professional (CPP): This certification is available to purchasing agents from the American Purchasing Society, and it can assist procurement analysts in gaining useful purchasing expertise. You can apply online and complete a training course to obtain this certification.
    • Certified Supply Chain Professional (CSCP): This accreditation is available to supply chain professionals thanks to the American Production and Inventory Control Society (APICS). Through APICS, you can satisfy professional development requirements and test for this certificate.
    • Certified Supply Management Professional (CPSM). Through the Institute for Supply Management, you can earn a CPSM certification (ISM). In general, the ISM demands at least three years of expertise in the supply chain before you can pass the certification exam.
    1. Advance your position: You can start to advance in your position as you gain experience in the process. When applying for a senior position, think about checking your résumé to make sure your most recent degrees, certificates, and training are there. You can proceed with an internal promotion or apply for external positions at new organizations.

For instance, some procurement analysts start in a junior procurement position before rising to a senior procurement analyst position within their organization. These advanced procurement positions typically ask for at least five years of relevant experience, however, this varies by business and sector.

 

Where to Work as a Procurement Analyst

Work environments for procurement analysts include corporate offices, governmental institutions, and nonprofit groups. Even while they occasionally put in extra time to meet deadlines, they normally work full-time during regular business hours. The majority of the time, procurement analysts collaborate with other analysts and support personnel including contract administrators and procurement specialists in teams. To share information regarding procurement processes and offer suggestions for how to make them better, they may also interact with managers, executives, and other stakeholders.

 

Procurement Analyst Salary Scale

The average gross pay for a procurement analyst in the US is $76,278; this equates to $37 per hour. Additionally, they receive a $2,677 bonus on average. Based on pay survey data obtained from anonymous employees and employers in the United States. The typical compensation for an entry-level procurement analyst (1-3 years of experience) is $54,630. The average pay for a senior-level procurement analyst (8+ years of experience) is $94,128.

In London, the United Kingdom, the average gross pay for a procurement analyst is £55,147, or £27 per hour. This is 27% more than the typical procurement analyst pay in the UK (+£11,740). They also receive an average bonus of £1,936. The typical compensation for an entry-level procurement analyst (1-3 years of experience) is £39,496. The average pay for a senior-level procurement analyst (8+ years of experience) is £68,052.

In Canada, the average gross pay for a procurement analyst is $81,313, which equates to a $39 hourly wage. Additionally, they receive a $2,854 bonus on average. Compensation estimates are based on data from anonymous Canadian employees and employers via salary surveys. The typical compensation for a procurement analyst at the entry-level (with 1-3 years of experience) is $58,236. The average pay for a senior-level procurement analyst (8+ years of experience) is $100,341.

In Australia, the average compensation for a procurement specialist is $114,391 per year or $58.66 per hour. Most experienced workers earn up to $150,000 per year, while entry-level roles start at $105,000.

The average gross pay for a procurement analyst in Ireland is €55,965, which works out to an hourly wage of €27. Additionally, they receive a €1,964 incentive on average. Wage projections are based on anonymous employee and employer responses to a salary survey conducted in Ireland. The typical compensation for an entry-level procurement analyst (1-3 years of experience) is €40,093. The average pay for a senior-level procurement analyst (8+ years of experience) is €69,081.

In Nigeria, the average monthly salary for a procurement analyst is roughly 377,000 NGN. The lowest salary is 192,000 NGN, and the highest is 580,000 NGN (highest).

In Germany, the average gross pay for procurement specialists is 60.708 euros or 29 euros per hour. They also receive an average bonus of 2.088 Euros. Wage projections are based on anonymous employee and employer responses to a salary survey conducted in Germany. The typical compensation for a procurement specialist at the entry-level (with 1-3 years of experience) is 44.219 euros. The average pay for a senior-level procurement specialist (8+ years of experience) is 74.420 Euros.

Job Description

Leave a Reply