Purchase Manager

Job Description

Job Purpose:

To be responsible for overseeing and managing the procurement/ purchase of raw materials, packaging, and other essential supplies to ensure smooth production operations.
This role involves strategizing to secure high-quality materials at competitive prices, managing relationships with suppliers, and negotiating contracts to optimize cost-efficiency.
Additionally, the Purchase Manager must monitor inventory levels, forecast demand, and ensure timely delivery of goods to avoid production delays.
By coordinating with production and finance teams, the Purchase Manager plays a crucial role in maintaining supply chain efficiency and supporting the company’s growth and profitability objectives.

Responsibilities:
1. Develop and implement procurement strategies to ensure timely and cost-effective acquisition of raw materials and packaging.
2. Forecast material requirements/ product availability based on production schedules and market demand to prevent shortages of raw material and excess inventory.
3. New vendor development – Identify, evaluate, and select vendors/ suppliers based on quality, cost, reliability, and service.
4. Enroll vendors, negotiate contracts, arrange for vendor agreement with suppliers to achieve the best possible deals and maintain favorable terms.
5. Build and maintain strong relationships with key suppliers to ensure consistent quality and delivery performance.
6. Monitor market trends and commodity prices to make informed purchasing decisions and manage costs effectively.
7. Conduct regular cost analyses and implement cost-saving measures while maintaining product quality.
8. Oversee inventory levels to ensure optimal stock levels, minimize holding costs, and avoid production delays in consultation with Inventory Manager
9. Prior each purchase, check and ensure that all procured materials meet the company’s quality standards and specifications & submit the records daily
10. Collaborate with quality control teams to address any issues related to material quality and supplier performance.
11. Place and manage purchase orders, ensuring timely delivery and compliance with order specifications.
12. Track and expedite orders as needed to resolve any delays or issues in the supply chain.
13. Maintain accurate records of procurement activities, including supplier information, contracts, and order history.
14. Ensure procurement activities comply with company policies, legal regulations, and industry standards.
15. Identify and mitigate risks related to supply chain disruptions, quality issues, and supplier non-compliance.
16. Work closely with production, finance, and other departments to align procurement activities with overall business objectives.
17. Provide guidance and support to junior procurement staff and coordinate with cross-functional teams to achieve common goals.
18. Planning of raw material during off days in alignment with the transport availability
19. Prepare and present reports on procurement performance, cost savings, and supplier performance to senior management on a daily, weekly, monthly basis as per the requirement
20. All SOPs to be implemented at each level/ process flow without any deviation

KRAs
1. Cost savings achieved through procurement strategies and negotiations to support profitability and cost- efficiency.
2. Build and maintain strong relationships with suppliers to ensure consistent quality and reliability.
3. Maintain optimal inventory levels to support production needs while minimizing excess stock and holding costs.
4. Ensure that procured materials meet quality standards and specifications.
5. Ensure compliance with procurement policies, regulations, and industry standards while managing risks.
6. Continuously improve procurement processes and implement innovative solutions.
7. Work effectively with other departments to align procurement activities with business objectives.
8. Maintain accurate records and provide timely reports on procurement activities and performance daily
9. Average time taken to resolve cross-functional issues related to procurement.
10. Adhere to the SOP’s given

KPIs
1. Percentage of purchase orders delivered on or before the agreed-upon delivery date.
2. Average time taken from placing an order to receiving the goods.
3. Amount saved through negotiations, bulk purchasing, and cost-reduction strategies compared to budgeted costs.
4. Percentage of supplier shipments meeting quality standards without defects.
5. Average time taken by suppliers to deliver goods from the order date.
6. Number of late deliveries or failed orders from suppliers.
7. Average cost of procurement per unit of raw material or packaging
8. Difference between budgeted procurement costs and actual costs.
9. Number of successful cost-saving initiatives or projects implemented.
10. No shortages of items/ raw materials during festival season particularly.
11. Percentage of inventory that exceeds optimal stock levels or is considered obsolete.
12. Percentage of procured materials that do not meet quality standards or require rework.
13. Number of quality-related complaints received from internal teams or customers about suppliers.
14. Average time taken to resolve quality issues with suppliers.
15. Percentage of procurement activities that adhere to company policies, industry regulations, and legal requirements.
16. Number of issues or discrepancies identified during internal or external audits of procurement processes.
17. Percentage of new procurement technologies or tools adopted and utilized effectively.
18. Feedback and satisfaction scores from internal departments (e.g., production, finance) regarding procurement support.
19. Number of times SOP’s was adhered to/ not adhered to

Requisite Skills:
1. Bachelor’s degree in supply chain management, Business Administration, or a related field. Master’s degree preferred.
2. Proven experience in procurement or supply chain management, preferably within the FMCG or sweet manufacturing industry.
3. Strong negotiation and contract/ vendor management skills.
4. Excellent analytical, decision making and problem-solving abilities.
5. Proficiency in managing inventory levels to prevent overstocking or stockouts.
6. Understanding of quality standards and specifications for raw materials and packaging.
7. Proficiency in procurement software and inventory management systems.
8. Effective communication and interpersonal skills.
9. Ability to work under pressure and manage multiple tasks simultaneously.
10. Ability to adapt to changes in market conditions, supplier availability, and production requirements
11. Ability to collaborate effectively with departments such as production, finance, and quality control.
12. Skilled in MS office & advance excel
13. Language proficiency in English, Hindi, Marathi, Gujrati/ Kutchi will be an added advantage
14. Negotiation skills – Handling transport/ logistics in a cost-effective manner
15. Should possess knowledge about Food Safety regulations

Desired Skills:
1. Experience in managing global suppliers, understanding international trade regulations, and dealing with cross-border procurement challenges.
2. Familiarity with advanced procurement and supply chain management systems, ERP solutions, and digital tools.
3. Ability to align procurement strategies with customer needs and expectations.
4. Commitment to ethical sourcing practices and ensuring suppliers adhere to ethical and environmental standards.