• Purchasing managers, buyers, and purchasing agents buy a vast array of farm products, durable and nondurable goods, and services for companies and institutions.
  • They attempt to get the best deal for their company—the highest quality goods and services at the lowest possible cost.
  • They accomplish this by studying sales records and inventory levels of current stock, identifying foreign and domestic suppliers, and keeping abreast of changes affecting both the supply of, and demand for, needed products and materials.
  • Purchasing professionals consider price, quality, availability, reliability, and technical support when choosing suppliers and merchandise.
  • To be effective, purchasing professionals must have a working technical knowledge of the goods or services to be purchased.
  • There are several major types of purchasing managers, buyers, and purchasing agents.
  • Wholesale and retail buyers purchase goods, such as clothing or electronics, for resale.
  • Purchasing agents buy goods and services for use by their own company or organization.
  • Purchasing agents and buyers of farm products purchase goods such as grain, Christmas trees, and tobacco for further processing or resale.
  • Purchasing managers usually handle more complicated purchases and may supervise a group of purchasing agents.
  • Purchasing professionals employed by government agencies or manufacturing firms usually are called purchasing directors, managers, or agents; sometimes they are known as contract specialists.
  • Purchasing professionals in government place solicitations for services and accept bids and offers through the Internet.
  • Some purchasing managers, called contract or supply managers, specialize in negotiating and supervising supply contracts.
  • Purchasing specialists who buy finished goods for resale are employed by wholesale and retail establishments, where they commonly are known as buyers or merchandise managers.
  • Wholesale and retail buyers are an integral part of a complex system of distribution and merchandising that caters to the vast array of consumer needs and desires.
  • Wholesale buyers purchase goods directly from manufacturers or from other wholesale firms for resale to retail firms, commercial establishments, and other organizations.
  • In retail firms, buyers purchase goods from wholesale firms or directly from manufacturers for resale to the public.
  • Buyers largely determine which products their establishment will sell. Therefore, it is essential that they have the ability to predict what will appeal to consumers.
  • If they fail to purchase the right products for resale, buyers jeopardize the profits and reputation of their company.
  • They keep track of inventories and sales levels, check competitors' sales activities, and watch general economic conditions to anticipate consumer buying patterns.
  • Buyers working for large and medium-sized firms usually specialize in acquiring one or two lines of merchandise, whereas buyers working for small stores may purchase the establishment's complete inventory.
  • Evaluating suppliers is one of the most critical functions of a purchasing manager, buyer, or purchasing agent.
  • Many firms now run on a lean manufacturing schedule and use just-in-time inventories so any delays in the supply chain can shut down production and potentially cost the firm its customers.
  • Purchasing professionals use many resources to find out all they can about potential suppliers. The Internet has become an effective tool for searching catalogs, trade journals, industry and company publications, and directories. Purchasing professionals attend meetings, trade shows, and conferences to learn of new industry trends and make contacts with suppliers.
  • They often interview prospective suppliers and visit their plants and distribution centres to assess their capabilities.
  • It is important to make certain that the supplier is capable of delivering the desired goods or services on time, in the correct quantities, and without sacrificing quality.
  • Once all of the necessary information on suppliers is gathered, orders are placed, and contracts are awarded to those suppliers who meet the purchaser's needs.
  • Most of the transaction process is now automated through use of the Internet.
  • Purchasing professionals often work closely with other employees in a process called “team buying.” For example, before submitting an order, the team may discuss the design of custom-made products with company design engineers, the problems involving the quality of purchased goods with production supervisors, or the issues in shipping with managers in the receiving department.
  • This additional interaction improves the quality of buying by adding different perspectives to the process.
  • Demand for workers may be somewhat limited by technological improvements such as software that has eliminated much of the paperwork involved in ordering and procuring supplies, and the growing number of purchases being made electronically through the Internet and electronic data interchange (EDI).
  • Demand will also be limited by offshoring of routine purchasing actions to other countries.
  • The use of the Internet to conduct electronic commerce has made information easier to obtain, thus increasing the productivity of purchasing managers.
  • The Internet also allows both large and small companies to bid on contracts. Exclusive supply contracts and long-term contracting have allowed companies to negotiate with fewer suppliers less frequently.
  • Still, purchasing managers will be needed to oversee large consolidated purchasing networks, thus spurring some employment growth.
  • In the retail industry, mergers and acquisitions have caused buying departments to consolidate. In addition, larger retail stores are eliminating local buying departments and creating a centralized buying department at their headquarters.
  • Persons who have a bachelor's degree in engineering, business, economics, or one of the applied sciences should have the best chance of obtaining a buyer position.
  • Industry experience and knowledge of a technical field will be an advantage for those interested in working for a manufacturing or industrial company.
  • Government agencies and larger companies usually require a master's degree in business or public administration for top-level purchasing positions.
  • Most managers need experience in their respective field.
Another occupation that obtains materials and goods for businesses is Procurement clerks.

Other occupations that need knowledge of marketing and the ability to assess consumer demand include Advertising, Marketing, promotion, public relations, and sales managers; Food service managers; Insurance sales agents; Lodging managers; Sales managers; Sales representatives, wholesale and manufacturing.
  • BA in Business Administration
This career information is drawn from data provided by the U.S. Department of Labor.