Director of sourcing vs director of purchasing

The differences between directors of sourcing and directors of purchasing 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 sourcing and a director of purchasing. Additionally, a director of sourcing has an average salary of $140,924, which is higher than the $106,945 average annual salary of a director of purchasing.

The top three skills for a director of sourcing include supply chain, strategic sourcing and continuous improvement. The most important skills for a director of purchasing are supply chain, purchase orders, and product development.

Director of sourcing vs director of purchasing overview

	Director Of Sourcing	Director Of Purchasing
Yearly salary	$140,924	$106,945
Hourly rate	$67.75	$51.42
Growth rate	-6%	-6%
Number of jobs	14,569	17,847
Job satisfaction	-	-
Most common degree	Bachelor's Degree, 72%	Bachelor's Degree, 68%
Average age	47	47
Years of experience	6	6

What does a director of sourcing do?

A director of sourcing is an executive professional who supervises a team of sourcing managers that manages the supply portfolio of a company to ensure spending transparency. This director is required to direct overseas factory meetings weekly to review product development and optimize the company's overall supply chain. The director must lead cross-functional process improvement teams to enhance performance and improve product quality. This director must also maintain excellent working relationships with vendors to ensure the success of their projects.

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.

Director of sourcing vs director of purchasing salary

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

	Director Of Sourcing	Director Of Purchasing
Average salary	$140,924	$106,945
Salary range	Between $99,000 And $200,000	Between $68,000 And $166,000
Highest paying City	San Francisco, CA	San Francisco, CA
Highest paying state	New Jersey	Washington
Best paying company	NVIDIA	Rivian
Best paying industry	Retail	Manufacturing

Differences between director of sourcing and director of purchasing education

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

	Director Of Sourcing	Director Of Purchasing
Most common degree	Bachelor's Degree, 72%	Bachelor's Degree, 68%
Most common major	Business	Business
Most common college	Stanford University	Stanford University

Director of sourcing vs director of purchasing demographics

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

	Director Of Sourcing	Director Of Purchasing
Average age	47	47
Gender ratio	Male, 73.7% Female, 26.3%	Male, 75.1% Female, 24.9%
Race ratio	Black or African American, 9.0% Unknown, 3.8% Hispanic or Latino, 12.1% Asian, 7.4% White, 67.5% American Indian and Alaska Native, 0.3%	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%
LGBT Percentage	11%	11%

Differences between director of sourcing and director of purchasing duties and responsibilities

Director of sourcing example responsibilities.

Attain ISO 9002 certification in a FDA supervise GMP facility.
Review RFI and RFP s and award business and contracts as well as managing reverse auctions.
Manage transportation logistics and schedule delivery pickup to ensure inventory levels of consumer goods are maintained and program initiatives fully support.
Establish QC manuals and audit process for 3rd party resident inspection team in Asia.
Mentore organization through FDA and TUV audits, product recalls, and complaint investigations CAPA.
Lead national RFP responses from major global organizations, which result in new national account customers.

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.

Director of sourcing vs director of purchasing skills

Common director of sourcing skills

Supply Chain, 14%
Strategic Sourcing, 8%
Continuous Improvement, 6%
Project Management, 5%
Process Improvement, 5%
Logistics, 4%

Common director of purchasing skills

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

Director Of Sourcing vs. similar jobs

Director Of Sourcing related careers

Director Of Sourcing related jobs

What similar roles do

Zippia Careers
Executive Management Industry
Director Of Sourcing
Director Of Sourcing vs Director Of Purchasing

Updated January 8, 2025

Browse executive management jobs