To carry out their primary functions, all types of businesses and enterprises require materials, products, and assistance from outside vendors. It is necessary to make decisions about how such goods and services will be obtained, as well as the terms under which they will be obtained. A sourcing manager is a person hired by companies or other organizations to handle contracting and purchasing functions. A typical sourcing manager will identify appropriate suppliers, negotiate contracts, coordinate transportation, and predict future company needs, though the scope of responsibility in this type of role may vary depending on the nature of the employing company.
Every sourcing manager’s primary goal is to secure the highest-quality raw materials, goods, or services at the most competitive prices. This necessitates constant attention to market conditions and industry trends. Materials inventories, global demand, and vendor quality are just a few of the factors that sourcing managers must consider. A savvy sourcing manager will need to keep up with supplier innovations, visit vendor facilities, and attend trade shows in order to make the best acquisition decisions. Contract negotiations can begin once preferred providers have been identified.
It’s not uncommon for sourcing managers to wear multiple hats at the same time. Many sourcing professionals are also in charge of marketing, logistics, forecasting, and manufacturing operations. Because of the potential for growth beyond the traditional sourcing manager job description, professionals in this field should invest in continuing education and specialized credentialing. Certified professional in supply management, certified professional purchasing manager, accredited purchasing practitioner, and certified supply chain professional are some of the sourcing designations available.
Sourcing managers work for a variety of companies and government agencies, so their work environments are diverse. Those who work for traditional businesses and organizations are used to working in fairly traditional environments. Large-scale manufacturers’ employees are likely to travel internationally on a regular basis in search of the best materials at the best possible price. Interaction with other business units within the organization or corporation may also be required to determine which types of goods, raw materials, or outside assistance would best help the firm achieve its overall goals. Successful sourcing managers must also learn advanced negotiation techniques and contract law so that the acquisitions they supervise work to their employer’s benefit and increase efficiency and profit.