Procurement Estimator Job Description [Updated for 2025]

In the world of business, the importance of procurement estimators is paramount.

As global commerce evolves, so does the need for skilled professionals who can effectively analyze, predict, and manage the cost of materials and services.

But let’s delve deeper: What’s truly expected from a procurement estimator?

Whether you are:

• A job seeker trying to understand the core responsibilities of this role,
• A hiring manager sculpting the perfect job candidate profile,
• Or simply fascinated by the behind-the-scenes of procurement estimation,

You’re in the right place.

Today, we present a customizable procurement estimator job description template, crafted for effortless posting on job boards or career sites.

Let’s dive in.

Procurement Estimator Duties and Responsibilities

Procurement Estimators are primarily responsible for conducting cost estimations and financial analysis for procurement activities.

They ensure that all purchasing decisions align with the company’s budget and financial goals.

The daily duties and responsibilities of a Procurement Estimator include:

• Reviewing project plans and specifications to determine material and labor requirements
• Conducting research on market trends to estimate the cost of proposed procurement items
• Developing and maintaining cost databases for various materials, equipment and labor rates
• Working closely with procurement officers and project managers to understand the project scope and requirements
• Preparing cost and expenditure statements and forecasts at regular intervals for the duration of the project
• Evaluating offers from vendors and subcontractors to perform cost analysis
• Collaborating with finance and procurement teams to set the budget for procurement activities
• Assisting in the negotiation of contracts to achieve the most favorable terms
• Preparing detailed reports to justify procurement decisions and actions
• Keeping track of changes in product design or raw materials that may affect costs

 

Procurement Estimator Job Description Template

Job Brief

We are seeking a detail-oriented procurement estimator to analyze and compile cost data for our purchasing department.

The responsibilities of the procurement estimator include evaluating supplier proposals, identifying cost elements, and providing cost comparisons.

Our ideal candidate has a strong understanding of procurement processes, cost analysis, and estimations.

You should be highly analytical, possess excellent negotiation skills, and have a knack for building solid relationships with suppliers.

Ultimately, the role of the procurement estimator is to ensure that cost estimations are accurate, competitive, and lead to the best value for our company.

 

Responsibilities

• Review and analyze supplier proposals, ensuring they meet company needs.
• Identify and quantify cost factors, such as production time, materials, and labor expenses.
• Collaborate with suppliers and negotiate to reach best-value agreements.
• Compile and present detailed reports, including cost-estimating findings.
• Use software for data analysis, forecasting, and budgeting.
• Establish and maintain relationships with suppliers and vendors.
• Stay current with the latest trends and best practices in procurement.
• Work with cross-functional teams to understand project needs and requirements.
• Ensure compliance with the company’s procurement policies and procedures.

 

Qualifications

• Proven experience as a procurement estimator or similar role.
• Strong understanding of procurement processes, cost analysis, and estimations.
• Excellent negotiation and communication skills.
• Strong analytical and strategic thinking skills.
• Proficiency in Microsoft Office Suite, especially Excel, and procurement software.
• Attention to detail and strong mathematical skills.
• BSc degree in Business, Finance, Supply Chain Management, or relevant field.

 

Benefits

• 401(k)
• Health insurance
• Dental insurance
• Retirement plan
• Paid time off
• Professional development opportunities

 

Additional Information

• Job Title: Procurement Estimator
• Work Environment: Office setting with occasional visits to supplier locations. Some travel may be required.
• Reporting Structure: Reports to the Procurement Manager or Director of Procurement.
• Salary: Salary is based upon candidate experience and qualifications, as well as market and business considerations.
• Pay Range: $70,000 minimum to $95,000 maximum
• Location: [City, State] (specify the location or indicate if remote)
• Employment Type: Full-time
• Equal Opportunity Statement: We are an equal opportunity employer and value diversity at our company. We do not discriminate on the basis of race, religion, color, national origin, gender, sexual orientation, age, marital status, veteran status, or disability status.
• Application Instructions: Please submit your resume and a cover letter outlining your qualifications and experience to [email address or application portal].

 

What Does a Procurement Estimator Do?

Procurement Estimators, also known as cost estimators, primarily work in the construction, manufacturing, or other industries that require significant procurement of materials and services.

They calculate the total cost of a project or a product by determining the cost of materials, labor, and time necessary to complete a project or create a product.

This includes predicting how much a project will cost, considering factors such as production time, labor costs, and materials.

Procurement Estimators play an important role in the bidding process as they often prepare estimates used in contracts, which helps a company decide whether or not to take on a project based on cost-effectiveness.

They collaborate with engineers, clients, contractors, and suppliers to ensure accuracy in their estimation process.

They also gather and analyze data on all of the factors that can affect costs, such as production time and raw materials.

Moreover, they may be involved in the negotiation of contracts and the selection of suppliers and subcontractors.

As part of their role, they are also responsible for tracking actual costs relative to bids as the project develops, and they must keep up-to-date with market trends and new products.

Some Procurement Estimators may specialize in a particular product or industry, and they must continually update their knowledge and skills to keep up with changing technology, materials, and methods.

 

Procurement Estimator Qualifications and Skills

A proficient Procurement Estimator should possess the skills and qualifications that align with the job description, which may include:

• Strong mathematical abilities and analytical skills to calculate accurate estimates for procurement projects.
• Proficient knowledge of procurement processes and materials used in various industries to assess necessary resources and costs.
• Effective communication skills to relay vital information about estimated costs, potential risks, and benefits to stakeholders and team members.
• Demonstrated knowledge in reading and interpreting technical drawings and specifications to derive accurate estimates.
• Strong negotiation skills to work with suppliers and contractors for the best pricing and quality.
• Attention to detail in order to analyze data, identify trends, and make accurate predictions regarding cost and timeframes.
• Excellent problem-solving skills to address any discrepancies or unforeseen costs that may arise during the procurement process.
• Strong computer skills with proficiency in software applications related to job costing, project management, and procurement.
• Adaptability to work in a fast-paced environment, managing multiple projects simultaneously.

 

Procurement Estimator Experience Requirements

Procurement Estimators usually have a bachelor’s degree in business, finance, supply chain management, or a related field.

However, experience plays a significant role in their job.

Entry-level Procurement Estimators may have 1 to 2 years of experience, often through an internship or part-time role in a related field such as procurement, finance, or supply chain.

They can also gain on-the-job experience in roles such as Procurement Assistant, Junior Estimator, or other related roles that involve cost estimation and supplier relationship management.

Candidates with more than 3 years of experience often develop their analytical, negotiation, and technical skills in entry-level Procurement Estimator roles.

They are typically able to handle larger contracts and more complex estimation tasks.

Those with more than 5 years of experience may have some leadership experience in their background and may be ready for a managerial position in procurement or supply chain management.

This level of experience often includes a demonstrated ability to manage supplier relationships, negotiate contracts, and oversee complex procurement processes.

Certain positions may require their procurement estimator hires to have advanced relevant experience or specialized knowledge in the industry the company operates in.

Some employers may also value professional certification from recognized industry bodies.

 

Procurement Estimator Education and Training Requirements

Procurement Estimators typically have a bachelor’s degree in business, finance, economics, or a related field.

They are required to have a strong understanding of cost analysis and a keen eye for detail.

These skills are usually developed through coursework in statistics, financial planning, and cost accounting.

In addition to a bachelor’s degree, several years of experience in purchasing, sales, or finance can be beneficial.

This experience provides practical knowledge of market trends and pricing strategies, which are crucial for accurate procurement estimation.

Some positions may require Procurement Estimators to have a master’s degree in business administration or a related field, particularly for roles with more significant responsibilities or in larger organizations.

Certifications, such as the Certified Professional Estimator (CPE) or the Certified Cost Estimator/Analyst (CCEA), can enhance a candidate’s credentials.

These certifications demonstrate a solid understanding of estimation techniques and standards, and commitment to professional growth.

Continuous training in cost estimation software and techniques is highly recommended as it ensures the Procurement Estimator stays updated with the latest industry trends.

A successful Procurement Estimator must also have excellent communication and negotiation skills, as they often interact with suppliers and internal stakeholders.

 

Procurement Estimator Salary Expectations

A Procurement Estimator earns an average salary of $77,736 (USD) per year.

The salary can vary significantly based on factors such as industry, years of experience, level of education, and the geographic location of the job.

 

Procurement Estimator Job Description FAQs

What skills does a Procurement Estimator need?

Procurement Estimators should have strong numerical and analytical skills to evaluate bids and cost estimates.

They should have good negotiation skills to ensure the best deals and excellent communication skills to interact with suppliers, vendors, and internal staff.

Knowledge of procurement software and an understanding of the industry’s market trends are also essential.

 

Do Procurement Estimators need a degree?

A bachelor’s degree in business, economics, or a related field is typically required for a Procurement Estimator.

A degree that focuses on cost estimation or procurement may be particularly beneficial.

Some roles may also require relevant experience in procurement or financial analysis.

 

What should you look for in a Procurement Estimator resume?

A Procurement Estimator’s resume should showcase their experience in cost estimating or procurement, knowledge of the industry, and any specific software they’re proficient in.

Look for evidence of negotiation skills, analytical abilities, and a track record of accurate cost estimating.

Any certifications related to procurement or cost estimation can also be a valuable addition.

 

What qualities make a good Procurement Estimator?

A good Procurement Estimator is detail-oriented, with a keen eye for identifying cost-saving opportunities.

They have strong analytical abilities to assess complex cost estimates and a good understanding of market trends.

Excellent communication skills are necessary to negotiate with suppliers and explain their estimates to decision-makers.

They should also be able to work under pressure and meet tight deadlines.

 

Is it challenging to hire Procurement Estimators?

Hiring a Procurement Estimator can be challenging due to the specialized skills and experience required for the role.

It is essential to offer competitive compensation packages and emphasize opportunities for professional growth to attract top talent.

A comprehensive job description detailing the role’s responsibilities and requirements can also help attract suitable candidates.

 

Conclusion

And there you have it.

Today, we’ve unveiled the true essence of being a procurement estimator.

Guess what?

It’s not just about crunching numbers.

It’s about paving the path for strategic purchasing, one estimate at a time.

Armed with our comprehensive procurement estimator job description template and real-world examples, you’re prepared to take the next leap.

But don’t just stop there.

Delve deeper with our job description generator. It’s your roadmap to creating highly accurate job listings or refining your resume to perfection.

Remember:

Every cost estimate is a component of the bigger financial framework.

Let’s shape that framework. Together.