Director of purchasing vs contracts director

The differences between directors of purchasing and contracts directors can be seen in a few details. Each job has different responsibilities and duties. It typically takes 4-6 years to become both a director of purchasing and a contracts director. Additionally, a director of purchasing has an average salary of $106,945, which is higher than the $73,351 average annual salary of a contracts director.

The top three skills for a director of purchasing include supply chain, purchase orders and product development. The most important skills for a contracts director are contract management, oversight, and contract terms.

Director of purchasing vs contracts director overview

	Director Of Purchasing	Contracts Director
Yearly salary	$106,945	$73,351
Hourly rate	$51.42	$35.26
Growth rate	-6%	-6%
Number of jobs	17,847	12,378
Job satisfaction	-	-
Most common degree	Bachelor's Degree, 68%	Bachelor's Degree, 66%
Average age	47	47
Years of experience	6	6

What does a director of purchasing do?

A director of purchasing oversees the procedures related to buying resources and supplies, directing operations from planning to execution while adhering to standards and company policies. They primarily perform research and assessments to understand project needs in terms of price, quality, and delivery time. They also identify ideal suppliers, negotiate deals, and build positive business relationships. Additionally, a director of purchasing has the authority to make significant decisions, delegate responsibilities among staff, oversee employment procedures within the department, and solve issues and concerns when any arise.

What does a contracts director do?

A contract director is primarily in charge of developing and negotiating contracts with clients and partners, ensuring adherence to the company's policies and regulations. Their responsibilities typically revolve around performing extensive research and analysis to foresee potential advantages and disadvantages, coordinating with analysts and other experts, monitoring the progress of operations to ensure contract compliance of both parties, and overseeing the development of proposals within the organization. Furthermore, as a contract director, it is essential to lead and encourage the team to reach goals, all while implementing the mission and vision of the company.

Director of purchasing vs contracts director salary

Directors of purchasing and contracts directors have different pay scales, as shown below.

	Director Of Purchasing	Contracts Director
Average salary	$106,945	$73,351
Salary range	Between $68,000 And $166,000	Between $46,000 And $116,000
Highest paying City	San Francisco, CA	San Francisco, CA
Highest paying state	Washington	California
Best paying company	Rivian	Edwards Lifesciences
Best paying industry	Manufacturing	Manufacturing

Differences between director of purchasing and contracts director education

There are a few differences between a director of purchasing and a contracts director in terms of educational background:

	Director Of Purchasing	Contracts Director
Most common degree	Bachelor's Degree, 68%	Bachelor's Degree, 66%
Most common major	Business	Business
Most common college	Stanford University	Stanford University

Director of purchasing vs contracts director demographics

Here are the differences between directors of purchasing' and contracts directors' demographics:

	Director Of Purchasing	Contracts Director
Average age	47	47
Gender ratio	Male, 75.1% Female, 24.9%	Male, 58.1% Female, 41.9%
Race ratio	Black or African American, 9.2% Unknown, 3.8% Hispanic or Latino, 12.4% Asian, 7.5% White, 66.8% American Indian and Alaska Native, 0.3%	Black or African American, 9.0% Unknown, 3.8% Hispanic or Latino, 12.1% Asian, 7.4% White, 67.4% American Indian and Alaska Native, 0.3%
LGBT Percentage	11%	11%

Differences between director of purchasing and contracts director duties and responsibilities

Director of purchasing example responsibilities.

Manage all aspects of the RFQ process, contracts, cost and rebate negotiations, and awarding of business.
Manage out-bound logistics services and third-party logistics providers to expand the range of commodities need to support automobile and aerospace manufacturing.
Develop standards and implement procedures for materials planning, product acquisition, inventory control, material distribution and logistics management.
Implement cost controls using commodity segmentation, vendor KPI's and cost justification base on key market indicators.
Monitor KPI indicators such as inventory turns, supplier on time delivery, inventory cycle count accuracy, and PPV.
Develop RFP (request for proposal) analysis, negotiation strategy, contract drafting and agreement execution plans on all contracts.

Contracts director example responsibilities.

Manage client audits (EPA, DCAA, local and state agencies) to resolve audit and rate variances.
Prepare and execute contractual documents: contracts, NDAs, consulting agreements, and subcontracts to achieve best value for company.
Establish managed care Medicaid funding models with several major integrate medical delivery systems.
Manage administrative support, handle payroll, develop company policies and procedures manual.
Target negotiations for development areas including Medicaid and Medicare products.
Review and sign off on final documents for the issuance of RFP solicitations and the execution of contracts and supplemental agreements.

Director of purchasing vs contracts director skills

Common director of purchasing skills

Supply Chain, 18%
Purchase Orders, 9%
Product Development, 7%
Vendor Relations, 6%
Logistics, 5%
Cost Savings, 4%

Common contracts director skills

Contract Management, 8%
Oversight, 6%
Contract Terms, 6%
Strong Analytical, 6%
Contract Administration, 6%
Project Management, 4%

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Director Of Purchasing
Director Of Purchasing vs Contracts Director

Updated January 8, 2025

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