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Become A Procurement Analyst

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Working As A Procurement Analyst

  • Getting Information
  • Communicating with Supervisors, Peers, or Subordinates
  • Interacting With Computers
  • Communicating with Persons Outside Organization
  • Establishing and Maintaining Interpersonal Relationships
  • Mostly Sitting

  • Make Decisions

  • Stressful

  • $68,446

    Average Salary

What Does A Procurement Analyst Do

Buyers and purchasing agents buy products and services for organizations to use or resell. They evaluate suppliers, negotiate contracts, and review the quality of products.

Duties

Buyers and purchasing agents typically do the following:

  • Evaluate suppliers on the basis of the price, quality, and speed of delivery of their products and services
  • Interview vendors and visit suppliers’ plants and distribution centers to examine and learn about products, services, and prices
  • Attend meetings, trade shows, and conferences to learn about new industry trends and make contacts with suppliers
  • Analyze price proposals, financial reports, and other information to determine reasonable prices
  • Negotiate contracts on behalf of their organization
  • Work out agreements with suppliers, such as when products will be delivered
  • Meet with staff and vendors to discuss defective or unacceptable goods or services and determine corrective action
  • Evaluate and monitor contracts to be sure that vendors and supplies comply with the terms and conditions of the contract and to determine the need for changes
  • Maintain and review records of items bought, costs, deliveries, product performance, and inventories

Buyers and purchasing agents buy farm products, durable and nondurable goods, and services for organizations and institutions. They try to get the best deal for their organization: the highest quality goods and services at the lowest cost. They do this by studying sales records and inventory levels of current stock, identifying foreign and domestic suppliers, and keeping up to date with changes affecting both the supply of, and demand for, products and materials.

Purchasing agents and buyers consider price, quality, availability, reliability, and technical support when choosing suppliers and merchandise. To be effective, purchasing agents and buyers must have a working technical knowledge of the goods or services they are purchasing.

Evaluating suppliers is one of the most critical functions of a buyer or purchasing agent. Many organizations run on a lean manufacturing schedule and use just-in-time inventories, so any delays in the supply chain can shut down production and cause the organization to lose customers.

Buyers and purchasing agents use many resources to find out all they can about potential suppliers. They attend meetings, trade shows, and conferences to learn about new industry trends and make contacts with suppliers.

They often interview prospective suppliers and visit their plants and distribution centers to assess their capabilities. For example, they may discuss the design of products with design engineers, quality concerns with production supervisors, or shipping issues with managers in the receiving department.

Buyers and purchasing agents must make certain that the supplier can deliver the desired goods or services on time, in the correct quantities, and without sacrificing quality. Once they have gathered information on suppliers, they sign contracts with suppliers who meet the organization’s needs and they place orders.

Buyers who purchase items to resell to customers may determine which products their organization will sell. They need to be able to predict what will appeal to their customers. If they are wrong, they could jeopardize the profits and reputation of their organization.

Buyers who work for large organizations often specialize in purchasing one or two categories of products or services. Buyers who work for smaller businesses or government agencies may be responsible for making a greater variety of purchases.

Wholesale and retail buyers purchase goods for resale to consumers. Examples of these goods are clothing and electronics. Purchasing specialists who buy finished goods for resale are commonly known as buyers or merchandise managers.

Purchasing agents and buyers of farm products buy agricultural products for further processing or resale. Examples of these products are grain, cotton, and tobacco.

Purchasing agents, except wholesale, retail, and farm products buy items for the operation of an organization. Examples of these items are chemicals and industrial equipment needed for a manufacturing establishment, and office supplies.

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How To Become A Procurement Analyst

Although a high school diploma may be sufficient for some positions, many employers require buyers and purchasing agents to have a bachelor’s degree. Most entry-level positions require some form of on-the-job training.

Education

Educational requirements usually vary with the size of the organization. Although a high school diploma may be enough at some organizations, many businesses require applicants to have a bachelor’s degree. For many positions, a degree in business, finance, or supply management is sufficient.

For those interested in a career as a buyer or purchasing agent of farm products, a degree in agriculture, agriculture production, or animal science is often beneficial.

Training

Buyers and purchasing agents typically get on-the-job training for more than 1 year. During this time, they learn how to perform their basic duties, including monitoring inventory levels and negotiating with suppliers.

Licenses, Certifications, and Registrations

There are several certifications available for buyers and purchasing agents. Although some employers require certification, many do not.

Most of these certifications involve oral or written exams and have education and work experience requirements.

The Institute for Supply Management offers the Certified Professional in Supply Management (CPSM) credential, which covers a wide scope of purchasing professional duties. To receive the CPSM credential, candidates must pass three exams and those with a bachelor’s degree must possess at least 3 years of relevant work experience while those without a bachelor’s degree must have at least 5 years of relevant work experience.

The American Purchasing Society offers the Certified Purchasing Professional (CPP) certification. The CPP certification is valid for 5 years. Candidates must earn a certain number of professional development “points” to renew their certification. Candidates initially become eligible and can renew their certification through a combination of purchasing-related experience, education, and professional contributions (such as published articles or delivered speeches).

APICS offers the Certified Supply Chain Professional (CSCP) credential. Applicants must have 3 years of relevant business experience or a bachelor’s degree in order to be eligible for the CSCP credential. The credential is valid for 5 years. Candidates must also earn a certain number of professional development points to renew their certification.

The Next Level Purchasing Association offers the Senior Professional in Supply Management (SPSM) Certification. Although there are no education or work experience requirements, applicants must complete six online courses and pass an SPSM exam. Certification is valid for 4 years. Candidates must complete 32 continuing education hours in procurement-related topics to recertify for an additional four-year period.

The Universal Public Procurement Certification Council (UPPCC) offers two certifications for workers in federal, state, and local government. The Certified Professional Public Buyer (CPPB) credential requires applicants to have earned at least an associate’s degree, possess at least 3 years of public procurement experience, and complete relevant training courses. The Certified Public Purchasing Officer (CPPO) requires applicants to have earned a bachelor’s degree, possess at least 5 years of public procurement experience, and complete additional training courses.

Those with the CPPB or the CPPO designation must renew their certification every 5 years by completing continuing education courses or attending procurement-related conferences or events.

The National Institute of Government Purchasing (NIGP), Institute for Public Procurement offers preparation courses for the UPPCC certification exams.

Advancement

An experienced purchasing agent or buyer may become an assistant purchasing manager before advancing to purchasing manager, supply manager, or director of materials management. Buyers and purchasing agents with extensive work experience can also advance to become the Chief Procurement Officer (CPO) for an organization.

Important Qualities

Analytical skills. When evaluating suppliers, buyers and purchasing agents must analyze their options and choose a supplier with the best combination of price, quality, delivery, or service. 

Decisionmaking skills. Buyers and purchasing agents must have the ability to make informed and timely decisions, choosing products that they think will sell.

Math skills. Buyers and purchasing agents must possess basic math skills. They must be able to compare prices from different suppliers to ensure that their organization is getting the best deal. 

Negotiating skills. Buyers and purchasing agents often must negotiate the terms of a contract with a supplier. Interpersonal skills and self-confidence, in addition to knowledge of the product, can help lead to successful negotiations.

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Procurement Analyst Videos

A Day in the Life -- Supply Chain

Skills for the Modern Procurement Professional

Michael Page Procurement & Supply Chain: 2012 Salary and Employer Insight

Procurement Analyst Jobs

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Procurement Analyst Career Paths

Procurement Analyst
Project Manager Construction Manager Purchasing Manager
Director Of Global Sourcing
14 Yearsyrs
Project Manager Product Manager Purchasing Manager
Director Of Sourcing
13 Yearsyrs
Procurement Agent Purchasing Manager
Director Of Strategic Sourcing
13 Yearsyrs
Business Analyst Information Technology Manager Purchasing Manager
Director, Procurement
13 Yearsyrs
Procurement Agent Senior Sourcing Specialist Purchasing Manager
Global Procurement Manager
11 Yearsyrs
Supply Chain Analyst Procurement Agent Purchasing Manager
Materials Director
12 Yearsyrs
Material Manager Logistics Coordinator Planner/Buyer
Materials Program Manager
9 Yearsyrs
All-Source Analyst Project Manager Purchasing Manager
Procurement Officer
5 Yearsyrs
Material Manager Manufacturing Manager Inventory Control Manager
Production Control Manager
8 Yearsyrs
Senior Contract Specialist Contracts Manager
Project Procurement Manager
10 Yearsyrs
Purchasing Manager Category Manager
Senior Category Manager
11 Yearsyrs
Business Analyst Product Manager Purchasing Manager
Senior Manager, Procurement
11 Yearsyrs
Senior Purchasing Agent Purchasing Manager
Senior Purchasing Manager
9 Yearsyrs
Senior Purchasing Agent Material Manager Purchasing Manager
Senior Sourcing Manager
13 Yearsyrs
All-Source Analyst Operations Analyst Supply Chain Analyst
Senior Supply Chain Analyst
7 Yearsyrs
Purchasing Manager Contracts Manager Contracts Administrator
Subcontracts Manager
11 Yearsyrs
Senior Contract Specialist Senior Contract Administrator/Contract Administrator Purchasing Manager
Supply Chain Lead
9 Yearsyrs
Supply Chain Analyst Supply Chain Planner Senior Buyer
Supply Manager
6 Yearsyrs
Operations Analyst Senior Operations Analyst
Vending Manager
7 Yearsyrs
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Do you work as a Procurement Analyst?

Help others decide if this is a good career for them

Average Length of Employment
Buyer 3.8 years
Technical Buyer 3.6 years
Procurement Buyer 3.3 years
Procurement Agent 3.1 years
Material Analyst 3.1 years
Logistics Analyst 2.6 years
Purchase Analyst 2.6 years
Analyst 2.4 years
Contract Analyst 2.3 years
Top Careers Before Procurement Analyst
Buyer 16.6%
Internship 5.8%
Analyst 2.4%
Manager 2.2%
Top Careers After Procurement Analyst
Buyer 14.1%
Analyst 3.3%

Do you work as a Procurement Analyst?

Procurement Analyst Demographics

Gender

Female

53.1%

Male

44.2%

Unknown

2.7%
Ethnicity

White

57.8%

Hispanic or Latino

15.5%

Black or African American

13.0%

Asian

9.6%

Unknown

4.1%
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Foreign Languages Spoken

Spanish

48.6%

French

7.2%

Russian

6.3%

Hindi

4.5%

Mandarin

4.5%

Portuguese

3.6%

Italian

2.7%

Chinese

2.7%

Japanese

2.7%

Cantonese

2.7%

Arabic

2.7%

Turkish

1.8%

Gujarati

1.8%

German

1.8%

Urdu

1.8%

Sanskrit

0.9%

Korean

0.9%

Ukrainian

0.9%

Georgian

0.9%

Dari

0.9%
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Procurement Analyst Education

Schools

University of Phoenix

21.4%

Strayer University

9.7%

Webster University

7.6%

Michigan State University

7.1%

Arizona State University

4.6%

Texas A&M University

4.2%

American InterContinental University

3.8%

Northeastern University

3.8%

George Washington University

3.4%

University of Maryland - University College

3.4%

Ashford University

3.4%

State University of New York Buffalo

3.4%

Defense Acquisition University

3.4%

University of Houston

3.4%

Villanova University

2.9%

Tennessee State University

2.9%

University of Texas at San Antonio

2.9%

The Academy

2.9%

Florida State University

2.9%

George Mason University

2.9%
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Majors

Business

44.7%

Supply Chain Management

7.4%

Finance

6.4%

Management

5.5%

Accounting

5.1%

Marketing

4.4%

Economics

3.6%

Human Resources Management

2.7%

Computer Information Systems

2.6%

Project Management

2.2%

Communication

2.2%

Political Science

2.0%

Law

1.8%

Psychology

1.7%

Public Administration

1.6%

International Business

1.3%

Liberal Arts

1.3%

Information Technology

1.3%

Industrial Engineering

1.2%

Computer Science

1.1%
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Degrees

Bachelors

45.6%

Masters

28.2%

Other

14.0%

Associate

5.5%

Certificate

4.5%

Doctorate

1.6%

License

0.3%

Diploma

0.2%
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Procurement Analyst Videos

A Day in the Life -- Supply Chain

Skills for the Modern Procurement Professional

Michael Page Procurement & Supply Chain: 2012 Salary and Employer Insight

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Real Procurement Analyst Salaries

Job Title Company Location Start Date Salary
Global Procurement Analyst Pepsico, Inc. NY Mar 21, 2016 $146,806
SAP Procurement Analyst Bloomberg, LP New York, NY Nov 26, 2012 $140,000
SAP Procurement Analyst Bloomberg, LP New York, NY Nov 26, 2015 $135,000
SAP Procurement Analyst Bloomberg, LP New York, NY Nov 25, 2013 $130,000
SAP Procurement Analyst Bloomberg, LP New York, NY Jun 09, 2015 $130,000
Indirect Procurement Analyst ELC Management LLC Melville, NY Dec 31, 2015 $128,800
Indirect Procurement Analyst ELC Management LLC Melville, NY Jun 13, 2016 $128,800
Procurement Analyst 5 Paypal, Inc. San Jose, CA Sep 17, 2016 $118,024
SAP Procurement Analyst (SAP Systems) Bloomberg L.P. New York, NY Dec 15, 2014 $115,000 -
$150,000
Procurement Analyst Apple Inc. Cupertino, CA Jul 31, 2014 $113,027 -
$125,000
Procure To Pay Analyst Mead Johnson & Company, LLC Evansville, IN Jul 08, 2013 $110,000
Procurement Analyst Apple Inc. Cupertino, CA Sep 13, 2013 $108,888 -
$125,000
Procurement Analyst Apple Inc. Cupertino, CA Jul 08, 2014 $105,000 -
$125,000
Procurement Analyst Ed&F Man Liquid Products LLC Tomball, TX Sep 10, 2014 $78,000
ERP Procurement Analyst Pyramid Technology Solutions, Inc. Houston, TX Aug 18, 2015 $76,503
ERP Procurement Analyst Pyramid Technology Solutions, Inc. Houston, TX Nov 23, 2013 $76,502
Procurement Analyst Levi Strauss & Co. San Francisco, CA Feb 09, 2015 $75,000
Procurement Analyst Valeo Climate Control Corp. Auburn Hills, MI Sep 19, 2012 $75,000
Procurement Consulting Analyst at&T Services, Inc. Atlanta, GA Sep 06, 2014 $74,708
Procurement Analyst Niagara Bottling, LLC Ontario, CA Feb 09, 2016 $74,000
Analyst, Procurement Metrics American Airlines, Inc. Fort Worth, TX Jul 09, 2016 $58,822 -
$104,392
Procurement Analyst MSG Sports & Entertainment, LLC New York, NY Jan 10, 2015 $58,600 -
$104,200
Procurement Analyst The Dannon Company, Inc. White Plains, NY Aug 15, 2014 $58,011 -
$72,000
Procurement Analyst HINO Motors Manufacturing U.S.A., Inc. Farmington Hills, MI Aug 01, 2012 $58,000
Global Procurement Analyst Mauser USA, LLC East Brunswick, NJ Sep 11, 2014 $58,000 -
$66,583
Indirect Procurement Analyst Wolverine World Wide, Inc. Rockford, MI Sep 26, 2011 $57,000
Procurement Analyst Bristol-Myers Squibb Company Princeton, NJ Sep 09, 2015 $57,000
Purchasing and Procurement Analyst National Molding, LLC Miami Lakes, FL Jan 09, 2016 $55,400

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Top Skills for A Procurement Analyst

  1. Product Quality
  2. Purchase Card
  3. Purchase
You can check out examples of real life uses of top skills on resumes here:
  • Selected vendors/suppliers based on product quality, budget requirements, reliability and delivery schedule.
  • Assisted five government purchase cardholders with acquisition request; information technology hardware, software and maintenance.
  • Prepared analysis Purchase Request and made recommendations to the responsible unit management.
  • Negotiated competitive prices when communicating with vendors and suppliers overcame obstacles with regard to price and scheduling of merchandise for delivery.
  • Deployed improved and standardized metrics methodologies to pharmaceutical affiliate Site Coordinators and trained them on all new policies and procedures.

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Top 10 Best States for Procurement Analysts

  1. District of Columbia
  2. Virginia
  3. Maryland
  4. Rhode Island
  5. Alabama
  6. New Jersey
  7. Michigan
  8. Connecticut
  9. New York
  10. Massachusetts
  • (168 jobs)
  • (578 jobs)
  • (261 jobs)
  • (31 jobs)
  • (107 jobs)
  • (206 jobs)
  • (207 jobs)
  • (117 jobs)
  • (412 jobs)
  • (198 jobs)

Top Procurement Analyst Employers

Jobs From Top Procurement Analyst Employers

Procurement Analyst Videos

A Day in the Life -- Supply Chain

Skills for the Modern Procurement Professional

Michael Page Procurement & Supply Chain: 2012 Salary and Employer Insight

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