Buyers and purchasing agents try to buy the best products at the lowest possible prices.

Buyers and purchasing agents buy goods and services for their company. Those who buy finished goods, such as clothes or furniture, are called buyers. Those who buy the parts and materials that help make goods are called purchasing agents or purchasers. These two types of workers have similar duties.

Buyers and purchasers research suppliers before buying any goods. Buyers and purchasing agents review the history and quality of the suppliers. They go to trade shows to see products on display. Sometimes they travel to factories to examine products. They evaluate suppliers based on factors such as:

• Price
• Quality
• Availability

When buyers and purchasing agents locate suppliers, they solicit bids. They provide suppliers a list of what they need and ask them to prepare a written statement of how much it will cost.

When a price is agreed upon, buyers sign a contract with the supplier. They continue to monitor the contract to ensure the agreements are met. If there are any problems, they work with suppliers to resolve them.

Purchasing Agents

Purchasing agents usually buy goods used to create new products sold by their company. Purchasing agents must have a technical working knowledge of the goods and services purchased. They may discuss the design of products with design engineers or production supervisors.

Purchasing agents can specialize in farm products such as corn and grain. They can also specialize in goods used in operations such as paper or industrial equipment.

Buyers

Buyers purchase items to resell to customers. This includes items such as clothes and electronics. Buyers must determine how much of an item they think their company can sell. They also have to decide what items will appeal to their customers.

Buyers and purchasing agents often specialize in what they buy. A buyer for a department store may buy only shoes. A purchasing agent may buy one type of commodity, such as steel, cotton, or wheat. In small companies one buyer may buy all the products.

Purchasing staff who work for the federal government are called contract specialists. They usually use sealed bids. Different suppliers submit their product prices on an anonymous bid. The specialist chooses the bid that is the lowest. They must follow many laws.