A hotel purchasing manager negotiates contracts with suppliers and oversees many aspects of daily operations for a single hotel or a chain of hotels. Typically, applicants for these positions must have completed a bachelor’s degree program in business administration, hospitality management, or a related field. Furthermore, many employers prefer to hire people who have previously worked in the hotel or hospitality industries.
Food and beverage supplies are purchased from vendors on a regular basis, and these items are sold through in-house shops, as well as in the bar and restaurant. The purchasing manager for the hotel must contact distribution companies and negotiate deals to have bulk orders of supplies delivered to the location. The manager must make sure that the building has enough storage space for these items and that the supplies do not expire before they are used. Supply contracts can last for weeks, months, or even years, and a hotel purchasing manager may try to renegotiate them over time if other suppliers begin to offer lower-cost supply packages.
A hotel purchasing manager must also acquire durable goods such as furniture, bed linen, and computer equipment in addition to perishable goods. Before agreeing to a supply agreement, a manager may negotiate with several companies. Because some goods and equipment are purchased infrequently, supply deals are frequently one-time events. Other types of durables require frequent replacement due to heavy use, in which case the manager may enter into a long-term contract with a specific vendor.
After purchasing the necessary items, the manager must coordinate with the restaurant, bar, and store managers to establish price points for the various products available to hotel guests. The managers try to keep prices competitive so that guests aren’t enticed to leave the building and buy the same items from nearby stores. Despite their best efforts to keep prices low, managers must ensure that the sale price of goods is high enough to cover the cost of purchasing inventory as well as other expenses such as sales tax.
A hotel purchasing manager may oversee a team of purchasing associates, each of whom is responsible for one location or one type of product within a large hotel chain. Managers must ensure that budgetary limits are not exceeded on a broad scale. To accomplish this, the manager may need to devote time to training associates in negotiation techniques and strategies.