Job Description

Cost Control & Savings

·       Achieve annual procurement savings targets.

·       Ensure procurement prices remain within approved budget parameters.

·       Continuously identify opportunities to reduce material costs without compromising quality

 

Supply Continuity

·       Maintain uninterrupted supply of all critical materials.

·       Ensure no production stoppages due to material shortages.

 

Inventory Optimization

·       Maintain inventory within approved minimum and maximum levels.

·       Balance inventory carrying costs against supply risks.

 

Supplier Competitiveness

·       Develop and maintain multiple qualified suppliers for all critical materials.

·       Prevent over-reliance on single-source suppliers.

·       Develop the supplier database with new suppliers through recommendations or trade fairs.

 

Quality Assurance

·       Establish and maintain clear AQL standards for all purchased materials.

·       Ensure suppliers are held accountable for defects, shortages, and quality failures.

 

Governance & Compliance

·       Ensure procurement activities comply with company policies and regulatory requirements.

·       Maintain transparency and integrity throughout the procurement process.

 

Key Responsibilities

·       Procurement Strategy & Cost Management

·       Develop annual procurement strategies aligned with production requirements and business objectives.

·       Prepare and manage annual procurement budgets and cost per item / product.

·       Monitor procurement spending against approved budgets and cashflow set aside at the monthly and annual level.

·       Benchmark material prices against historical purchases, market trends, and industry standards.

·       Identify and execute cost reduction initiatives.

·       Conduct regular spend analysis to identify savings opportunities.

·       Challenge specifications and purchasing practices to eliminate unnecessary costs.

·       Report monthly procurement savings and cost avoidance initiatives to management.

 

Raw Material Procurement

Responsible for sourcing and procurement of:

·       Molasses

·       Neutral Spirit / RS

·       Flavors & Caramel

·       Other Production consumables as and when required

 

Packaging Material Procurement

Responsible for procurement of:

·       Bottles

·       Caps & Closures

·       Labels

·       Cartons

·       Shippers

·       Promotional packaging

·       Corrugated materials

·       Printed materials

·       Other materials as and when required

 

Inventory Planning & Control

·       Maintain the demand planning forecast at the annual and monthly level, updated with actual and forecasted production figures.

·       Establish minimum, maximum, and safety stock levels for all critical materials.

·       Ensure procurement plans align with production forecasts in the demand planning forecast

·       Monitor inventory aging and slow-moving materials.

·       Maintain sufficient inventory to support production requirements while minimizing working capital investment.

·       Ensure no Out-of-Stock (OOS) situations occur due to procurement failures by factoring in lead times, especially for imported materials.

 

Supplier Development & Strategic Sourcing

·       Maintain a minimum of two qualified suppliers for all critical materials whenever commercially feasible.

·       Continuously identify and develop alternative suppliers

·       Conduct supplier benchmarking exercises.

·       Evaluate suppliers based on:

·       Price

·       Quality

·       Delivery performance

·       AQL

·       Financial stability

·       Capacity

·       Service level

·       Create competitive tension among suppliers to maximize commercial leverage.

·       Conduct regular supplier performance reviews.

·       Maintain an Approved Supplier List (ASL).

 

Supplier Quality Management & AQL Standards

·       Establish clear Acceptable Quality Limits (AQL) for every purchased material and component.

For each material category:

·       Define acceptance criteria.

·       Define rejection criteria.

·       Define sampling procedures.

·       Define supplier corrective action procedures.

·       Work closely with Manufacturing Quality Control to ensure:

·       Objective pass/fail standards.

·       Consistent inspection procedures.

·       Supplier accountability for defects.

·       Ensure suppliers compensate the company for:

·       Defective materials.

·       Production losses caused by defects.

·       Delayed deliveries.

·       Non-conforming materials.

·       Excessive rejection rates.

·       Maintain a Supplier Quality Scorecard.

 

Contract & Commercial Negotiations

·       Lead all commercial negotiations with suppliers.

·       Negotiate:

·       Pricing

·       Credit terms

·       Rebates

·       Payment terms

·       Delivery schedules

·       Quality guarantees

·       AQL

·       Penalty clauses

·       Ensure all major purchases are supported by documented quotations and competitive bidding processes.

 

Government Relations & Regulatory Procurement

·       Manage procurement-related government approvals.

·       Lead import licensing activities.

·       Coordinate molasses procurement approvals.

·       Manage customs and port clearance support activities.

·       Coordinate FDA and regulatory applications related to purchased materials.

 

Procurement Governance

·       Ensure procurement policies and approval limits are followed.

·       Prevent unauthorized purchases.

·       Prevent supplier conflicts of interest.

·       Ensure procurement transparency.

·       Participate in internal and external audits.

 

Leadership & Team Management

·       Lead and develop the Procurement Department.

·       Establish departmental KPIs and performance targets.

·       Create and refine procurement and procurement related SOPs

·       Coach procurement personnel on negotiation, sourcing, inventory management, and supplier management.

·       Conduct regular supplier and procurement reviews with management.