Career Option in Purchasing Material Management

A business or organization acquires goods or services to accomplish the goals of the enterprise. This act of purchasing happens through a set of processes, which can vary greatly between organizations. Purchasing is different from “procurement”, which typically includes Expediting, Supplier Quality, and Traffic and Logistics (T&L) in addition to Purchasing.

• Education Details & Eligibility:

An average commercial enterprise disposes off more than half of its income on materials, supplies and services. A five percent saving in material costs in a business organization can result in an increase in turnover of 25%. Effective purchasing is therefore the key to the overall profitability of a business.

A three day course is designed for all organizations that need to inject professional and profit oriented purchasing practices into their procurement section.

The focus of the workshop will also include purchasing and its functional relationships in the achievement of corporate objectives. It will enable participants to be more effective in their responsibilities by: Learning how, where and what to buy in order to strategically meet the operational requirements of the business. Developing vital skills in ordering, vendor selection, negotiation and the evaluation of purchasing performance. Learning alternative methods of maximizing purchasing contribution to the organization’s profitability.

This course is suitable for people whose position entails elements of procurement, storekeeping and stores management. It is ideal for a diversity of organizations including the public sector, private companies, NGO's,, charitable institutions, banks, hospitals and educational institutions.

• Course Duration:

There are 3 days workshops conducted by many educational institutions for entrepreneurs.

• Approximate Education Expenses:

For a workshop it may cost Rs10, 000 (approx)

For detail on colleges please visit www.StudyGuideIndia.com

Companies hire purchasing managers, buyers, and purchasing agents to find the best merchandise at the lowest possible purchase cost. Purchasers typically buy goods and services for their company or organization to use, while buyers ordinarily buy items in order to resell them for profit. Purchasers and buyers find the best goods or services, choose suppliers, negotiate prices, and grant contracts that ensure that the right amount of the product or service is received when it is needed. Purchasing managers, buyers, and purchasing agents take several steps to reach these goals: they research sales records and inventory levels of current stock, find foreign and domestic suppliers, and stay current on any changes in either the supply of or demand for needed products and materials.

Finding good suppliers is crucial to the work of purchasing managers, buyers, and purchasing agents, who evaluate suppliers on multiple criteria (price, quality, service support, availability, reliability, selection, etc.). Purchasing managers, buyers, and purchasing agents study catalogs, industry and company publications, directories, and trade journals, often on the Internet. Reputation and history of a supplier is important, and future purchase actions may be advertised in order to solicit bids. These workers use meetings, trade shows, conferences, and suppliers’ plants and distribution centers to inspect products and services, assess a supplier’s production and distribution capabilities, and discuss other relevant considerations. Once they have completed their research, suppliers who meet the purchaser’s needs will receive orders and contracts (which often last several years and may stipulate a narrow range of prices to allow purchasers to reorder as needed). Purchasing managers, buyers, and purchasing agents’ further responsibilities vary according to employer and type of goods or services with which they deal.

In government agencies and manufacturing firms, purchasing specialists typically are dubbed contract specialists; buyers or industrial buyers; or purchasing directors, managers, or agents. These specialists acquire various elements necessary for production: materials, parts, machines, supplies, services, etc. They can obtain anything from raw materials, machinery, and construction services to fabricated parts, office supplies and airline tickets. If the right materials, equipment, or supplies are out of stock when needed, work and production can be slowed or even halted. Effective purchasing specialists need to be deeply familiar with the technical aspects of the goods or services they purchase. Some purchasing managers, known as contract or supply managers, concentrate on negotiating and supervising supply contracts.

In large industrial companies, buyers and purchasing agents are often seen as having a different role from purchasing managers. Buyers and purchasing agents tend to concentrate on standard purchasing tasks; they frequently have a particular area of specialization, such as in a commodity like steel, lumber, cotton, grains, fabricated metals, or petroleum products. Purchasing agents follow market conditions, price trends, or futures markets in order to conduct the more complicated or crucial acquisitions. They also may oversee a team of purchasing agents who deal in other commodities and services. In choosing between the titles of purchasing manager, buyer, or purchasing agent, specific job duties matter less than the particular industry and employer.

The traditional roles of purchasing or supply management specialists in many industries have changed because of evolving business practices. Throughout product development, for instance, manufacturing companies increasingly rely on these specialists to forecast the cost, availability, and suitability of parts and materials. Moreover, conferring with the purchasing department during the early stages of product design can help prevent problems with the supply of materials.

Integrated supply contracts, which involve all members of the supply chain (including suppliers, transporters, and retailers), can also be useful for businesses. Because the nature of these broader and longer lasting agreements affects the buying firm’s performance, companies must be especially careful in selecting a supplier. Purchasers are generally responsible for working out any potential problems with a supplier.

On average, beginning it will be Rs15, 000, then will gain increment based on experience and knowledge

In government agencies and manufacturing firms, purchasing specialists typically are dubbed contract specialists; buyers or industrial buyers; or purchasing directors, managers, or agents. These specialists acquire various elements necessary for production: materials, parts, machines, supplies, services, etc. They can obtain anything from raw materials, machinery, and construction services to fabricated parts, office supplies and airline tickets. If the right materials, equipment, or supplies are out of stock when needed, work and production can be slowed or even halted. Effective purchasing specialists need to be deeply familiar with the technical aspects of the goods or services they purchase. Some purchasing managers, known as contract or supply managers, concentrate on negotiating and supervising supply contracts.

In large industrial companies, buyers and purchasing agents are often seen as having a different role from purchasing managers. Buyers and purchasing agents tend to concentrate on standard purchasing tasks; they frequently have a particular area of specialization, such as in a commodity like steel, lumber, cotton, grains, fabricated metals, or petroleum products. Purchasing agents follow market conditions, price trends, or futures markets in order to conduct the more complicated or crucial acquisitions. They also may oversee a team of purchasing agents who deal in other commodities and services. In choosing between the titles of purchasing manager, buyer, or purchasing agent, specific job duties matter less than the particular industry and employer.

The traditional roles of purchasing or supply management specialists in many industries have changed because of evolving business practices. Throughout product development, for instance, manufacturing companies increasingly rely on these specialists to forecast the cost, availability, and suitability of parts and materials. Moreover, conferring with the purchasing department during the early stages of product design can help prevent problems with the supply of materials.

Integrated supply contracts, which involve all members of the supply chain (including suppliers, transporters, and retailers), can also be useful for businesses. Because the nature of these broader and longer lasting agreements affects the buying firm's performance, companies must be especially careful in selecting a supplier. Purchasers are generally responsible for working out any potential problems with a supplier.

On average, beginning it will be Rs15, 000, then will gain increment on based on experience and knowledge

• Careers In Logistics, Supply Chain