Purchasing is a process practiced by an organization to procure goods and services for production or resale. Even in our everyday lives, we as consumers purchase various commodities, be it for luxury or necessity. Therefore, purchasing and selling activities constitute a significant part of our industry and are increasing over time due to the introduction of e-commerce. With this rising trend, a purchasing officer’s job plays a crucial role in fulfilling the needs of diverse industries as they purchase goods and services required by an organization for resale or company use.
What is a purchasing officer ?
A purchasing officer is an individual who purchases raw materials for a company they work in either for resale or further manufacturing and services to be used by the employer. They are responsible for checking the product quality, researching relevant information about different vendors, and negotiating contracts. They have to travel to different locations to check out the supplier’s sites and attend vendor meetings. Purchasing officer careers are highly demanded in specific industries like manufacturing, wholesale, retail, and federal government.
What does a purchasing officer do ?
Purchasing officers are employed at the junior level while the purchasing managers handle the complex logistic tasks. They have to perform all duties that are given to them by the purchasing manager. The primary task of a purchasing manager includes:
- Buying products that are used in the day-to-day operation of a company.
- Evaluating the stock levels and quality.
- Preparing essential reports about the purchases.
A purchasing officer’s job includes maintaining good ties and healthy relationships with different vendors to get high-quality supplies and on-time delivery.
Purchasing officer job duties include
- Should have the ability to research and evaluate potential vendors and suppliers.
- Comparison of different price products to know about the correct market price.
- A purchasing officer’s job is to establish cost parameters for different products and prepare budget for purchases.
- Should keep good ties with the vendors and suppliers.
- Should have the ability to negotiate appropriate contracts, keeping the price and supply in mind.
Job brief for a purchasing officer
When companies offer a purchasing officers job, they look for a well-organized officer to join the existing team and work in coordination with them. They will have to carry out all tasks that are allocated to them by a purchasing manager, which includes conducting research, finding out information about potential suppliers, and accordingly negotiating deals. To become successful as a purchasing officer, you should multitask and have an eye for detail; good marketing skills are a must for this job post.
Responsibilities of a purchasing officer
A purchasing officer has many duties and responsibilities that they should perform, here are some of them –
- Examination of each product that is purchased to ensure its high quality.
- Tracking of inventory, delivery times, and ensuring that they arrive at the appointed time and date.
- Purchasing officer’s job is to ensure that every delivery should contain all the materials as per the request.
- Keep a database of different suppliers and vendors and the materials delivered by them.
- Should work with the team members, managers, and supervisors to formulate purchasing policies, plans, and procedures.
- Should be able to collaborate with the financial team members to set the required budgets.
Requirements for a purchasing officers job
- Should possess a bachelor’s degree in business, logistics, or other related fields.
- Purchasing officer experience or involvement in a similar field is beneficial.
- Should be proficient in the management software programs.
- Ability to identify various market trends and make sound decisions in a stressed environment.
- Should understand the supply chain procedure.
Average salary for purchasing officer
The average salary for a purchasing officer in Singapore varies based on experience, location, and the type of company.
General Salary Overview
- Entry-Level (0-2 years of experience): Approximately S$36,000 - S$48,000 per annum.
- Mid-Level (3-5 years of experience): Approximately S$48,000 - S$72,000 per annum.
- Senior-Level (5+ years of experience): Approximately S$72,000 - S$100,000 per annum.
Salary Breakdown by Experience
| Experience Level | Average Annual Salary |
|---|---|
| 0 - 2 Years | S$42,000 |
| 2 - 5 Years | S$54,000 |
| 5 - 10 Years | S$78,000 |
| 10 - 15 Years | S$90,000 |
| 15+ Years | S$100,000 |
Salary by Industry
| Industry | Average Annual Salary |
|---|---|
| Manufacturing | S$70,000 |
| Retail | S$65,000 |
| Information Technology | S$60,000 |
| Healthcare | S$58,000 |
| E-commerce | S$62,000 |
Salary by Top Employers
| Company | Average Annual Salary |
|---|---|
| DBS Bank | S$80,000 |
| OCBC Bank | S$75,000 |
| UOB | S$70,000 |
| Citibank | S$68,000 |
| Standard Chartered Bank | S$65,000 |
This overview indicates that purchasing officers in Singapore can expect varying salaries based on their experience and the type of company they work for. Major urban areas generally offer higher salaries due to the demand for procurement roles.
Key skills that are required for a purchasing officers job
- Should possess excellent verbal and written skills.
- Good negotiating skills to be able to crack deals with the customers.
- Time management skills to prioritize different tasks.
- Should have the ability to pay attention to detail.
- Able to make decisions in a fast-paced environment.
- Good organizational and management skills.
- Should possess networking skills to maintain a good relationship with different clients.
Why pursue a career in purchasing officer ?
Here are a few reasons why one should get a purchasing officers job –
In-demand job
Purchasing industry is one of the fastest-growing industries; due to its high demand, there will be more employment opportunities for individuals in this sector. Every organization or business needs a person to deal with the suppliers, manage logistics and do market research and analysis. Therefore, there is a high demand for purchasing officers in multinational and local companies.
Average salary
The average salary for a purchasing officer’s job is lakhs. If there is a high demand for a specific job, then the salaries will go up too. Apart from this, you will benefit from traveling to different places to close various deals and look for good quality products. You can gain experience when you go to different places and understand the market and get financial benefits as well.
Working on a variety of projects
If you are a person who cannot sit in a particular place and work all day, this job is perfect for you. In this field, you have to perform different tasks such as conducting research, maintaining good relationships with the vendors and suppliers, recording and analyzing purchases, working with different teams, and traveling to different places when necessary.
How to become a purchasing officer ?
Education
You have to get a bachelor’s degree in either business, logistics, or other related fields that will help you understand the job. In addition, a candidate must be skilled and gain experience in negotiating, procuring quality products and services at lower prices, and be up to date with the latest trends and software.
Get good training and experience
After you have completed your studies, getting training in finance and other skills will be an added benefit. For example, a purchasing officer’s job requires analyzing different commodities, studying their pricing, and understanding their reasonable prices in order to get the best deals. This will increase your skill set and help you understand the market better.
Certification
If you want to increase your skills and develop good knowledge about your job, try getting different certifications related to this field. Certified purchasing professional, Certified professional purchasing manager, etc., are a few certifications that will not only help you with the present job position but will give you the capability to get promoted. Getting your skills certified is one of the best ways to stand out from the competition, and it increases your chances of getting a purchasing officer’s job. These are some of the basic steps that will help you become a purchasing officer. However, as the profession requires multitasking and a good skill set, just being thorough with book knowledge is not enough; you will have to go into the real world and gain experience. After a few years of experience and exposure, you can even think of promotion from a purchasing officer’s job to purchasing manager if you have the required abilities. It is a kind of job which will help you develop and learn about different types of skills in the future.
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