Procurement Manager Salary

By BusinessStudent.com - January 8, 2018
Reading Time: 9 minutes

The following article discusses the career path of Procurement Manager. Learn about how to become one, education requirements, job duties, traits and qualities, national salary outlook as well as top national employers of Procurement Managers.

Job Duties

Procurement managers are the first point of contact between a company and its external suppliers. They have strong analytical skills, which enable them to find new suppliers, screen them, and then develop mutually beneficial service level agreements with them. They then work with legal professionals to put these agreements in place, after which they monitor that all the elements of the contract are being adhered to. In so doing, they ensure the supply process is both cost effective and completely efficient.

These professionals don’t just work with external suppliers and the legal team, however. They also work with engineers, managers, and company executives, focusing on capital projects. They become involved at the start of any new processes, thereby ensuring that they have the time to find the essential supplies. They also focus on industry changes, forecasting the potential impact of this on the organization and on the procurement budget. This enables senior management to develop appropriate strategies so that the goals of the organization can continue to be met.

Other job duties of a procurement manager are:

  • To negotiate deadlines, policies, and contracts with external vendors and suppliers
  • To monitor product and vendor pricing structures to prepare for potential financial fluctuations
  • To manage the flow of supplies and goods so that production is most efficient
  • To adapt and analyze internal policies
  • To process and prepare purchase requisitions and orders, maintaining acquisition documentation
  • To manage vendors and staff so that all goods and products are received in a timely manner

Where We Work

According to the U.S. Bureau of Labor Statistics, there were 520,400 purchasing managers, buyers, and purchasing agents in 2016. The largest employers of these professionals are:

  • Manufacturing: 23%
  • Wholesale trade: 15%
  • Management of companies and enterprises: 10%
  • Retail trade: 9%
  • Federal government: 8%

How to Become

The role of a procurement manager is highly technical in nature. As a result, they will usually have a technical bachelor. Additionally, they often hold other certifications, such as the CPSM (certificate of professional supply management) or the CPM (certified purchasing manager). Additionally, they must continuously train to remain aware of new supply chain functions and structures.

Education Requirements

A procurement manager is almost always expected to hold a bachelor’s degree, although the size of the organization does play a role in this. The major of the degree should be in supply management, finance, or business, or another technical field. Work experience is very important, as it demonstrates that someone has gained on the job training.

A procurement manager may also obtain various forms of certification, although this is generally not a legal requirement. Appropriate certifications include:

  • Certified Purchasing Professional (CPP) offered by the American Purchasing Society
  • Certified Supply Chain Professional (CSCP) offered by the American Production and Inventory Control Society (APICS)
  • Senior Professional in Supply Chain Management (SPSM) offered by the Next Level Purchasing Association.
  • Certified Public Purchasing Officer (CPPO) offered by the Universal Public Procurement Certification Council (UPPCC).
  • Certified Professional Public Buyer (CPPB) offered by the UPPCC.

    • All certifications are valid for a limited time only and must therefore be renewed through further training and examinations. Organizations such as the National Association of State Procurement Officials (NASPO) and the National Institute of Government Purchasing (NIGP) offer training for these courses.

    A procurement manager will typically have at least five years’ working experience in a relevant area. Typically, these professionals grow into their role through internal promotions. Others are brought in externally, in which case education weighs more heavily.

    Traits & Qualities

    The most effective procurement managers have the following traits to some degree or other:

    • Strong analytical skills
    • Excellent decision making skills
    • Very good mathematical skills
    • Negotiating skills
    • Computer skills, particularly in relation to inventory control software
    • Management and leadership skills to motivate employees across the board
    • Financial skills, particularly focusing on budget management
    • Strong communication skills, both verbal and written

    Minimum Education

    Bachelor’s Degree

    National Salary

    The national average salary estimate for Procurement Manager was $81,418. This number is estimated from over 428,624 employees, users past and present job advertisements from Indeed.com. This equates to an hourly salary of $42.41 and monthly of $6,785.

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    $19,000

    $186,000

    Salary Distribution

    Salary by State

    The following section lists Procurement Manager salaries in each state around the country. The figures are based on the total number of job postings through Indeed.com. For example, Massachusetts had the largest quoted salary of $95,572 while Nebraska had the smallest quoted salary of $38,515.

    Arkansas Illinois Missouri South Carolina
    Arizona Indiana North Carolina Tennessee
    California Kansas Nebraska Texas
    Colorado Kentucky New Hampshire Utah
    Connecticut Louisiana New Jersey Virginia
    DC Massachusetts New York Washington
    Florida Maryland Ohio Wisconsin
    Georgia Michigan Oregon
    Iowa Minnesota Pennsylvania
    Arkansas – $56,234 Rank: 32nd

    The average salary ranks 32nd among states in the country. There were also job openings from employers like Arkansas Department Of Human Services.

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    $14,000

    $135,000

    Salary Distribution
    Arizona – $69,999 Rank: 26th

    The average salary ranks 26th among states in the country. There were also job openings from employers like State of Arizona, Robert Half Finance & Accounting, Datamatics Global Services Ltd, and Chipton Ross.

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    $23,000

    $140,000

    Salary Distribution
    California – $91,621 Rank: 5th

    The average salary ranks 5th among states in the country. There were also job openings from employers like Groupe LEADER, Manufacturing Company of Food, Vitamins, and Cosmetics, Semper Solaris, and Suna Solutions Inc..

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    $22,000

    $209,000

    Salary Distribution
    Colorado – $81,494 Rank: 15th

    The average salary ranks 15th among states in the country. There were also job openings from employers like CyberCoders and iConnect POS.

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    $20,000

    $184,000

    Salary Distribution
    Connecticut – $82,330 Rank: 12th

    The average salary ranks 12th among states in the country. There were also job openings from employers like Asset Staffing, Manpower, and Michael Page.

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    $21,000

    $183,000

    Salary Distribution
    DC – $82,994 Rank: 11th

    The average salary ranks 11th among states in the country. There were also job openings from employers like Robert Half Finance & Accounting and Locksmith Resource.

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    $22,000

    $182,000

    Salary Distribution
    Florida – $74,135 Rank: 22nd

    The average salary ranks 22nd among states in the country. There were also job openings from employers like Miami Dade County, Ascendo Resources, NIGP: The Institute for Public Procurement, and Florida Virtual School.

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    $22,000

    $156,000

    Salary Distribution
    Georgia – $79,837 Rank: 17th

    The average salary ranks 17th among states in the country. There were also job openings from employers like Robert Half Finance & Accounting, CyberCoders, University of West Georgia, and CorTech, LLC.

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    $18,000

    $186,000

    Salary Distribution
    Iowa – $55,130 Rank: 33rd

    The average salary ranks 33rd among states in the country. There were also job openings from employers like MidAmerican Energy.

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    $14,000

    $124,000

    Salary Distribution
    Illinois – $88,087 Rank: 6th

    The average salary ranks 6th among states in the country. There were also job openings from employers like The laSalle Network, AppleOne, Modis, and The Chicago Housing Authority.

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    $24,000

    $192,000

    Salary Distribution
    Indiana – $94,819 Rank: 2nd

    The average salary ranks 2nd among states in the country. There were also job openings from employers like Express Employment Professionals, Adecco, and Laguna Source.

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    $21,000

    $223,000

    Salary Distribution
    Kansas – $71,684 Rank: 23rd

    The average salary ranks 23rd among states in the country. There were also job openings from employers like Olathe Public Schools.

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    $29,000

    $133,000

    Salary Distribution
    Kentucky – $67,028 Rank: 30th

    The average salary ranks 30th among states in the country. There were also job openings from employers like University of Kentucky.

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    $19,000

    $144,000

    Salary Distribution
    Louisiana – $68,058 Rank: 27th

    The average salary ranks 27th among states in the country. There were also job openings from employers like State of Louisiana.

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    $22,000

    $139,000

    Salary Distribution
    Massachusetts – $95,572 Rank: 1st

    The average salary ranks 1st among states in the country. There were also job openings from employers like Commonwealth of Massachusetts, Randstad, Michael Page, and DSJ Global.

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    $24,000

    $214,000

    Salary Distribution
    Maryland – $83,475 Rank: 9th

    The average salary ranks 9th among states in the country. There were also job openings from employers like Adecco, Howard Community College, Baltimore County Public Schools, and WSSC.

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    $24,000

    $177,000

    Salary Distribution
    Michigan – $68,054 Rank: 28th

    The average salary ranks 28th among states in the country. There were also job openings from employers like Robert Half Management Resources, Accountemps, and Systel.

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    $14,000

    $169,000

    Salary Distribution
    Minnesota – $92,021 Rank: 4th

    The average salary ranks 4th among states in the country. There were also job openings from employers like Hunter-Ross, LLC.

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    $16,000

    $234,000

    Salary Distribution
    Missouri – $87,011 Rank: 7th

    The average salary ranks 7th among states in the country. There were also job openings from employers like CyberCoders and Anheuser-Busch.

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    $14,000

    $231,000

    Salary Distribution
    North Carolina – $81,893 Rank: 13th

    The average salary ranks 13th among states in the country. There were also job openings from employers like Search Solution Group and Ampcus Inc.

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    $19,000

    $187,000

    Salary Distribution
    Nebraska – $38,515 Rank: 34th

    The average salary ranks 34th among states in the country. There were also job openings from employers like SGS Consulting and SGS.

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    $7.25

    $53.35

    Salary Distribution
    New Hampshire – $78,358 Rank: 19th

    The average salary ranks 19th among states in the country. There were also job openings from employers like Career Development Partners.

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    $20,000

    $174,000

    Salary Distribution
    New Jersey – $92,641 Rank: 3rd

    The average salary ranks 3rd among states in the country. There were also job openings from employers like Center for Diagnostic Imaging, CyberCoders, MVP Staffing, and Beaumont Select.

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    $26,000

    $198,000

    Salary Distribution
    New York – $80,688 Rank: 16th

    The average salary ranks 16th among states in the country. There were also job openings from employers like HRA/DEPT OF SOCIAL SERVICES, DELTA FUNDING, New York City Department of Education, and Software People Inc..

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    $19,000

    $183,000

    Salary Distribution
    Ohio – $81,616 Rank: 14th

    The average salary ranks 14th among states in the country. There were also job openings from employers like MJ Recruiters, LLC, Bertram & Associates, Bio-Partners, and CMD And Associates.

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    $23,000

    $175,000

    Salary Distribution
    Oregon – $83,251 Rank: 10th

    The average salary ranks 10th among states in the country. There were also job openings from employers like Beaumont Select and Volt.

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    $35,000

    $152,000

    Salary Distribution
    Pennsylvania – $78,335 Rank: 20th

    The average salary ranks 20th among states in the country. There were also job openings from employers like Veredus Corporation, Remote Recycle, JCS Professional Staffing, Inc., and Vets 4 Heroes Recruiting.

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    $19,000

    $177,000

    Salary Distribution
    South Carolina – $67,301 Rank: 29th

    The average salary ranks 29th among states in the country. There were also job openings from employers like Hire Dynamics.

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    $24,000

    $130,000

    Salary Distribution
    Tennessee – $76,704 Rank: 21st

    The average salary ranks 21st among states in the country. There were also job openings from employers like CyberCoders and Premier Staffing Partners.

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    $14,000

    $195,000

    Salary Distribution
    Texas – $85,936 Rank: 8th

    The average salary ranks 8th among states in the country. There were also job openings from employers like WorleyParsons, Deacon Recruiting, Interesse International Inc, and HP.

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    $20,000

    $199,000

    Salary Distribution
    Utah – $62,638 Rank: 31st

    The average salary ranks 31st among states in the country. There were also job openings from employers like OceanView.

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    $18,000

    $133,000

    Salary Distribution
    Virginia – $70,736 Rank: 25th

    The average salary ranks 25th among states in the country. There were also job openings from employers like Adecco, GPA Procurement, Federal Government Jobs, and Commonwealth of Virginia.

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    $18,000

    $156,000

    Salary Distribution
    Washington – $71,674 Rank: 24th

    The average salary ranks 24th among states in the country. There were also job openings from employers like State of Washington, Tacoma Community College, Remote Recycle, and Procurement People.

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    $18,000

    $160,000

    Salary Distribution
    Wisconsin – $79,351 Rank: 18th

    The average salary ranks 18th among states in the country. There were also job openings from employers like Faststream Recruitment, INC, UW Health, and DSJ Global.

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    $29,000

    $154,000

    Salary Distribution

    Top 20 National Employers

    According to Indeed.com, the following states had employers looking to hire a Procurement Manager. The quoted salary figure represents the average salary from all job postings by this employer.

    Employer Name Location Average Salary
    JAS Recruitment Procurement Manager California $281,512
    CyberCoders Procurement Manager Colorado $138,593
    Baltimore County Public Schools Procurement Manager Maryland $135,588
    Valley Transportation Authority Procurement Manager California $133,867
    Material and Contract Services, Inc. Procurement Manager California $130,598
    FOCUS Employment Solutions Procurement Manager California $128,680
    Laguna Source Procurement Manager Indiana $128,488
    Coca-Cola Refreshments Procurement Manager Georgia $125,854
    Bramwith Consulting Procurement Manager Illinois $124,086
    Johnson Service Group Inc Procurement Manager Pennsylvania $123,304
    CDP Solutions Procurement Manager Ohio $123,273
    DSJ Global Procurement Manager Wisconsin $116,919
    Michael Page Procurement Manager Connecticut $116,318
    Edwards Place of Employment Procurement Manager Georgia $116,218
    Constellation Brands Procurement Manager California $114,986
    Robert Half Finance & Accounting Procurement Manager New Jersey $112,301

    Learn More

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