Job Description, Duties, Interview Questions and Salary for Purchase Manager Position:
The role of a Purchase Manager or Materials Manager is crucial in any organization that deals with the procurement of goods and services. This individual is responsible for sourcing the best quality products at the most competitive prices. They work closely with suppliers and vendors to negotiate contracts, ensuring timely delivery of goods while maintaining cost-effectiveness.
The Purchase Manager/Materials Manager is also accountable for managing inventory levels, monitoring stock levels, and ensuring that the organization has an adequate supply of materials to meet production and operational demands. In addition to procurement responsibilities, they are also tasked with supplier relationship management, quality control, and ensuring compliance with regulatory standards.
A successful Purchase Manager/Materials Manager possesses excellent negotiation skills, analytical abilities, and attention to detail. They also have a deep understanding of the industry and market trends to make informed decisions that benefit the organization.
Additionally, one should work with suppliers to negotiate contracts for the purchase of required goods and keep accurate records of transaction trends.
Also to assist the Finance and Operational Departments in the monitoring, reporting and controlling of Cost of Sales in the hotel, including audit and control, financial analysis and reporting, budgeting, forecasting etc.
PURCHASING MANAGER DUTIES AND RESPONSIBILITIES:
- Implement sound purchasing policies, systems and procedures in accordance with Company standards.
- Monitor vendors for quality, service and price through standard purchasing specifications.
- Obtain competitive quotations for hotel requirements and ensure that the best product is sourced and purchased.
- Calls for quotations for any items costing more than a certain amount (As per company policy) and inquire into prices from various suppliers.
- A minimum of three independent genuine quotations must be obtained.
- Establish contracts to ensure reduced pricing for all operating areas of the hotel.
- Receives market list from the Executive Chef on a daily basis and arranges for delivery of those items daily.
- Ensures that all orders receiving dates are updated by the buyers according to the suppliers promised delivery dates.
- Ensures that all authorised or approved purchase orders are sent to their respective suppliers/vendors for delivery purposes on a daily basis.
- Ensures & verifies that quotations are regularly updated and supplier’s new current price lists are maintained.
- Ensure the efficient operation of the Purchasing Department in all aspects.
- Research and identify new products and services for the hotel in the market.
- Obtains written approval for established Minimum / Maximum stock levels by the financial controller and general manager.
- Checks, explain if needed and approves delivered items discrepancy report issued by cost control regarding price and quantity order variances.
- Approves all additional requests for new storeroom items, checking correct item description, unit, packing, category and establishes Min/Max estimated stock levels.
- Verify the ‘pending orders’ report on a daily basis, and all pending orders are checked and verified regularly.
- On a daily basis prepare the list of to be cancelled orders and sent to accounts for deletion, with appropriate reasons.
- Issues regularly slow moving item lists.
- Identifies items for standing orders utilising vendor’s logistics for regular deliveries to the hotel based on approved highly consumed items.
- Ensures validity of items available, force issue obsolete items and follows up on action taken for disposal.
- Verifies that all documentation and proper quotations are maintained and filed according to Policy and Procedure requirements.
- Approves all storeroom re-order requests, verifying quantities within the established Min/Max stock levels.
- Responsible for all administrative functions of the Materials Department, staffing, training and execution of other related duties.
- Responsible for all purchasing functions, quotations, quality and availability.
- Responsible for physical control of all store items until issued, fully documented under strict control procedures (key control, timing schedule, authorised issue requests).
- Responsible for maintaining logical storeroom inventory levels operationally needed.
- Spot checks storeroom requests if properly maintained, verifies quantity requested and issued, proper items received by signatories & ID availability.
- Spot-checks entered system quotations, period validity quotes locked by, etc.
- Ensures that the suppliers follow the rules relating to the hygiene of goods delivered.
- Keeps all records in a way that they can be checked at any time for information or audit purposes.
- Liaison with the Assistant Purchasing Manager, Purchasing Coordinator, Receiving Agent, Stores Supervisor and F&B Cost Controller
- Maintains all documents, files and listings up-to-date and performs his duties in the most efficient manner.
- Willing to work a flexible schedule in order to accomplish all major responsibilities and tasks.
POSITION TITLE: Purchase Manager / Materials Manager
REPORTS TO: Financial Controller / Chief Accountant / General Manager
Strong negotiating and closing skills required, along with a demonstrated ability to develop negotiation strategies for complex activities. Ability to evaluate legal and business risks and ramifications of proposed contractual terms. Consistently offer professional, engaging and friendly service
Graduate or diploma in business studies or MBA or purchasing and supply. With good knowledge of MS office suite and Materials management software (MMS)
Previous Min 4 years experience as Asst. Purchase manager 4 years with expertise in the Hotel and Catering industry.
Interview Questions For Purchase Manager or Materials Manager:
When interviewing candidates for a Purchase Manager or Materials Manager position, it’s important to assess their procurement expertise, negotiation skills, and ability to manage the supply chain efficiently. Here are some interview questions you might consider:
Procurement and Supply Chain Management:
- Can you describe your experience as a Purchase Manager or Materials Manager, including the types of industries or projects you’ve been involved in?
- Look for candidates with relevant experience in procurement and supply chain management.
- How do you approach the procurement process, from identifying suppliers to negotiating contracts and managing relationships?
- Assess their end-to-end understanding of the procurement cycle.
- What strategies do you use to ensure a stable and efficient supply chain for the organization?
- Evaluate their knowledge of supply chain management principles.
Vendor Management and Negotiation:
- How do you evaluate and select suppliers, and what criteria do you consider when negotiating contracts with them?
- Assess their vendor management and negotiation skills.
- Can you provide an example of a successful negotiation or cost-saving initiative you implemented in a previous role?
- Evaluate their ability to achieve favorable terms and conditions.
Inventory Control and Management:
- How do you manage inventory levels to ensure adequate stock while minimizing carrying costs and waste?
- Assess their understanding of inventory control and management techniques.
- What methods do you use to track and analyze inventory data for better decision-making?
- Evaluate their data analysis skills and use of technology in inventory management.
Compliance and Risk Management:
- How do you ensure that procurement processes comply with relevant regulations, and how do you manage supply chain risks?
- Assess their awareness of compliance requirements and risk mitigation strategies.
Cost Reduction Strategies:
- What steps do you take to identify and implement cost reduction strategies in the procurement process?
- Assess their ability to optimize costs without compromising quality.
Team Management (if applicable):
- Have you managed a procurement team before, and how do you ensure effective communication and collaboration within the team?
- Evaluate their leadership and team management skills.
- How do you leverage technology, such as procurement software or ERP systems, to enhance the efficiency of procurement processes?
- Assess their familiarity with technology in procurement and supply chain management.
Sustainability and Ethical Sourcing:
- What considerations do you take into account regarding sustainability and ethical sourcing in the procurement process?
- Assess their awareness of environmental and ethical considerations.
Salary Information For Purchase Managers or Materials Managers :
Salaries for Purchase Managers or Materials Managers can vary based on factors such as location, industry, and level of experience. As of January 2024, the average annual salary for individuals in procurement management roles in the United States ranged from $70,000 to $120,000 or more, depending on the specific circumstances.
However, salaries can vary, and it’s advisable to check the latest salary data from reliable sources for the most current information. Keep in mind that specific industries or regions may have different salary ranges, so research is based on the relevant context.