60 results for "procurement"

Procurement is the process by which businesses and other organizations purchase goods and services. Because these expenses can have a huge impact on the profitability of a company or the budget of a public entity, a well-managed procurement process is a very important to the overall success of an organization. Thus, procurement typically involves solicitation planning, research into sourcing and potential suppliers, competitive bidding, contract negotiations, and inventory management.

Procurement can be even more complex for multinational corporations or companies with international supply chains, where trade laws and tariffs must be considered on top of pricing and logistical concerns. Public entities may also be subject to additional procurement requirements pertaining to sourcing, including environmental and labor considerations.

Because of the complexity of the procurement process, it typically spans many departments of an organization, including accounting, operations, and sales. C-suite executives may also weigh in on procurement considerations given their importance to overall business strategy.‎

A strong understanding of procurement is essential for roles at many companies whose profitability depends on sourcing the right inputs at the right price, or at public agencies responsible for supplying goods and services for government operations. Positions that typically manage the procurement process include supply chain managers, operations managers, and purchasing managers.

These procurement experts are responsible for developing policies, evaluating potential suppliers, analyzing price proposals, negotiating contracts, and monitoring the ongoing performance of selected vendors and their products. According to the Bureau of Labor Statistics, purchasing managers earned a median annual salary of $121,110 in 2019, a high level of pay commensurate with the importance of this work to an organization’s bottom line.‎

Certainly. Coursera offers opportunities to learn about a wide range of business topics online, including courses about procurement as well as supply chain management and logistics. You can take individual courses or Specializations in procurement from Rutgers the State University of New Jersey and the Korea Advanced Institute of Science and Technology (KAIST). You can also learn about procurement in the context of courses on supply chain and project management from the Georgia Institute of Technology or the University of California Irvine.

Whether you choose these or other opportunities to learn about procurement on Coursera, you’ll be able to learn from top-ranked institutions from around the world on a flexible schedule. And, because you can learn on Coursera for a significantly lower tuition than on-campus students, you’ll be procuring a great education at a great price.‎

You should typically have strong reading skills, critical analysis skills, and basic business knowledge before starting to learn procurement. Having these skills can help you process the information you’re learning in procurement courses so you can apply it effectively when you’re working in the field. Interpersonal skills can also be useful in procurement as well as the ability to make and use spreadsheets. Some other skills that can be helpful in procurement include an understanding of international trade, knowledge about environmental issues and sustainability, and a firm grasp of contract law.‎

People who are organized and detail oriented and who are good at managing financial information are typically best suited for procurement roles. Negotiation and interpersonal skills can also be useful when working in this field. These skills can be helpful in procurement positions when ordering on behalf of a large organization to ensure that organization obtains the right quantity of parts or finished items as well as getting those parts at the best price. A high level of comfort with using technology is another useful skill in procurement because it’s a profession that involves a lot of paperwork that needs to be stored and organized.‎

Purchasing is typically one of the top career paths for someone in procurement. Some job titles that fall under the purchasing field include purchasing manager, buyer, commodities manager, and procurement manager. According to the Bureau of Labor Statistics, these jobs usually require at least a bachelor’s degree and pay a median hourly wage of $33.46 in the US as of 2020. Logisticians and operations managers are also positions that typically rely heavily on procurement skills. Procurement clerks, assistants, and associates can sometimes enter the field at a lower pay rate while building skills and gaining experience.‎

Manufacturing facilities typically hire people who have a procurement background to manage the process of ordering raw materials. Retail facilities usually hire procurement professionals, or buyers, to find and order items to buy wholesale and then sell at retail prices. Large restaurant chains typically hire professionals in this field to arrange for large orders of supplies for individual restaurants to prepare and serve. Business offices and educational institutions also sometimes hire professionals in this field to order bulk quantities of office supplies.‎