3 Essential Traits for Procurement Managers

Fairmarkit
Sep 7, 2018 · 3 min read
From pexels.com

No matter the type of a company, the procurement department has its work cut out. The expectations are high and the stakes even higher. Cutting costs and ensuring timely supply are no easy tasks and a lot of it rests on the shoulders of procurement leaders. And as in any specialized role those people need certain abilities and traits in order to truly excel. Knowledge of the technical aspects of procurement goes without saying, but the following three skills also play a key role.

Communication and Relationship Building

Communication skills may not be something everyone would immediately associate with procurement. After all, isn’t that the job of the PR department? However, they are essential to a good procurement leader due to the intricate and interconnected nature of this work. And this holds equally true for communication within your company and with external vendors.

Regarding the vendors, the communication skill which stands out the most in terms of importance is relationship building. A true partnership where a vendor knows your company’s needs and priorities can provide far greater benefits than a simple buyer-seller association.

By disclosing the appropriate information, the head of procurement can allow the vendors to adjust their strategies. This translates into better deals for your company and generates value.

And when it comes to your own company, the case is much the same. By establishing proper lines of communication with other departments, the head of procurement will be better able to understand their different needs. This helps with long-term planning and those benefits are clear.

The Ability to Delegate

Closely connected to the previous point, a good procurement leader needs to know how to delegate assignments. And the reason is simple. As mentioned, fostering relationships is crucial to the procurement cycle. And this requires a personal touch.

Therefore, it is simply not possible for the head of procurement to handle every vendor. This means they need to choose the right person for the job. A true leader will know which employee can connect to a certain type of a supplier and will make the most of it.

For example, one supplier may require complex contracts while another may need to change the details of the agreement on the fly. By assigning the right team member, the head of procurement will make the vendor happy and that bodes well for your company’s bottom line.

Foresight

The simple truth is that when the procurement department doesn’t purchase the goods on time, the company grinds to a halt. For that reason, a great procurement leader will always look ahead.

This could mean building that special relationship with a crucial vendor in order to ensure your company will have priority in case of a shortage. Or, it could mean spreading your purchases across multiple suppliers to make it easier to find alternative sources. Whatever the case, anticipating procurement problems and preparing for them is a vital part of keeping a company operating smoothly.

Heading up procurement is a monumental task. It comes with a lot of responsibilities to the company and its external partners. That is why the CPO is such an important position. A procurement leader will thus need many skills, but these three stand out to us. They are the building blocks of a successful department and working on them will pay dividends in the long run.

Fairmarkit

Helping enterprises get to the best price faster for their small to medium sized purchases.

Welcome to a place where words matter. On Medium, smart voices and original ideas take center stage - with no ads in sight. Watch
Follow all the topics you care about, and we’ll deliver the best stories for you to your homepage and inbox. Explore
Get unlimited access to the best stories on Medium — and support writers while you’re at it. Just $5/month. Upgrade