what is a procurement officer?
As a procurement officer, you procure products and services for your company. Your job is to ensure the organisation spends money wisely on purchasing raw materials and services to achieve its goals. You assess products for quality and negotiate the best prices with suppliers. You usually lead a team of procurement experts overseeing purchase functions and approving vendors. You also ensure the approved purchases meet the company's quality standards.
Your role differs depending on the company size. For instance, when you work in a large organisation, you manage several other procurement experts. Hence, you perform supervisory roles and approve your team's final purchase proposals. If the company has multiple product lines, you are responsible for specific commodity types required by the product category. Some companies also group procurement officers by geographical location or client groups. In smaller companies, you perform most of the procurement tasks, from sourcing suppliers to negotiating contract terms and prices.
Procurement officers have many opportunities in various industries since sourcing products and services are essential in many companies. For instance, an effective procurement officer can help reduce equipment costs in the mining industry by negotiating better deals. Procurement officers also work in the construction and manufacturing industries, sourcing raw materials and equipment for the processes.procurement officer jobs
average salary of a procurement officer
The median remuneration package for procurement officers in Australia is $80,000 annually. Due to the diversity of the role across industries, you will encounter salary fluctuations that depend on experience and qualifications. Some entry-level procurement officers with minimal skills take home $70,000 annually. In comparison, experienced workers in the field receive over $90,000 per year.
how to increase the salary of a procurement officer
The salaries of procurement officers depend on the employer and work experience. Working for small companies is good for gaining knowledge, but the remuneration package is usually low. Large companies can afford to pay better salaries and provide specialised roles. The complexity of the procurement process in large organisations improves your salary prospects. Enhancing your qualifications and work experience is also helpful. For instance, a procurement officer without tertiary education earns less than someone with a VET qualification or a bachelor's degree.
The geographical location also influences your remuneration package. If you live and work in metro areas, you will likely earn more due to the high demand for procurement officers.
Want to know what you will earn as a procurement officer? Check out what you are worth with our salary checker.
types of procurement officers
The types of procurement officers depend on the business sector and the goods they procure. Some include:
construction procurement officer: as a procurement officer in the construction industry, you source suppliers and vendors of construction materials and equipment. Your job is to negotiate the prices and quality of the raw materials and ensure they are within the budget. You also negotiate lease agreements on heavy equipment.
it procurement officer: if the company relies on software applications, your job is negotiating contracts for the software. You prepare the purchase agreements and ensure the company gets the best software.
manufacturing procurement officer: your job is to find raw materials suppliers and ensure the products are delivered on time to prevent production delays. You renegotiate contracts based on changing supply demands and prices.
working as a procurement officer
Working as a procurement officer allows you to contribute to the fulfilment of organisational goals. Let's explore the daily tasks and work schedules of procurement officers.
education and skills
Some of the relevant qualifications for the role include:
- vet qualification: formal education is not mandatory for procurement officers, but you need some qualifications to excel. Consider completing a diploma in business with a procurement major or a diploma in procurement and contracting. A VET qualification like Certificate IV in procurement and contracting equips you with the necessary knowledge.
- bachelor's degree: boost your career prospects by furthering your education through a bachelor's degree in business and logistics and supply chain management. You can progress to higher roles when you combine training with experience.
skills and competencies
Some of the qualities of a procurement officer include:
- critical thinking skills: you require critical thinking skills to analyse a situation and make informed decisions based on the information provided. Critical thinking helps you find the best deals for products or services.
- organisational skills: procurement officers manage a great deal of information on contracts, budgets and other documents. You require organisational skills to keep track of all the information and improve work efficiency.
- detailed-oriented skills: you rely on attention to detail to complete the procurement process based on company policies. Being detail-oriented helps you follow the necessary steps and meet the specifications for products and services.
FAQs about working as a procurement officer
Here are the most asked questions about working as a procurement officer: