Careers in the field of purchasing are relatively new and have come into real importance only in the last half of the twentieth century. Wit the development of production machinery beginning about 200 years ago, manufacturing plants and businesses became greatly enlarged. This necessitated the division of management jobs into various specializations on various strategies of buying activities. By the late 1800s buying was considered as a separate job in large businesses. The purchasing of great amounts of supplies was necessary in many industries such as railroads, automobiles, and steel. As business expanded, the trend toward specialized buying grew. In 1915, the purchasing agents in the country established the National Association of Purchasing Management.
The development of the purchasing field, including its purchasing jobs was furthered by the necessary expansion of industry and government bureau during and after World War I. Since World War II the economic importance of centralized buying by trained purchasing agents and specialists has been permanently established. Furthermore, when a business annually buys at least a hundred of thousand dollars worth of buying goods, the employment of a purchasing agent is economically necessary. The job of purchasing is large and varied. It is important that the most suitable materials be selected in the proper quantity at the best possible price for delivery at the correct time and place. To do this, the agent must consider the exact specifications for the required items, cost, quantity discounts, freight handling or other transportation costs and delivery time. Much of this information can be obtained by comparing listings in catalog and trade journals, interviewing suppliers’ representatives, keeping up with current market trends, examining sample goods, and observing demonstrations of equipment. It may be that the agent will find it valuable to visit plants of company suppliers to check the quality of the production of supplies. The agent is also responsible for following up the order for merchandise, making certain the goods meet the order specifications. In some larger firms it may be necessary for the purchasing staff to consist of several employees assigned to specific jobs usually headed by a director or manager or purchasing who directs the overall buying operation. Most purchasing agents work in firms that have fewer than five employees in the purchasing department.
Part of their purchasing career is carrying out their responsibilities. Purchasing agents may have access to advice from purchase price analysts, who compile and analyze statistical data about the manufacture and cost of products. Based on this information, they can make recommendations to purchasing personnel regarding the feasibility of producing or buying certain products and suggest ways to reduce costs. Other purchasing agents may specialize in a particular product or field of buyer jobs. For example, the procurement engineers specialize in aircraft equipment. They establish specification and requirements for construction, performance, and testing of equipment and are involved in the transactions between buyers and suppliers. Meanwhile, field contractors negotiate with farmers to grow or purchase fruits, vegetables, or other crops. These experts may advise growers on matters such as methods, acreage, and supplies, and may arrange for financing, transportation, or labor recruitment. On the other hand, head tobacco buyers are also engaged in the purchase of tobacco on the auction warehouse floor. They advise other buyers about grades and quantities of tobacco to buy and the prices to pay.
As to its purchasing employment, employers differ greatly in what they require as to educational background for purchasing agents. With a high-school education and some experience in procurement, it is possible to obtain certain entry-level jobs. But the likelihood of acquiring a supervisory or managerial position will tend to decrease if one does not have a college degree. Some employers require a college degree and prefer applicants with a master’s degree in business administration or management. Companies that manufacture machinery or chemicals may require a degree in engineering or science. College work should include courses in general economics, purchasing, accounting, statistics, and business management. A familiarity with computers is also highly desirable. Likewise, among the many personal traits important to a purchasing agent, some of the most important are honesty and integrity. One should be of calm temperament and firm in one’s decisions. The position of a purchasing agent is partially a public relations assignment, so one should therefore strive to be diplomatic, tactful, and cooperative.
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