Strategic Sourcing Category Manager: A Pivotal Role in the Banking Industry
The future of banking lies in the strategic use of resources. One key role that is becoming increasingly crucial in this industry is that of the Strategic Sourcing Category Manager. With a growing emphasis on efficiency and cost savings, this position is responsible for developing and implementing strategies that align procurement with the overall vision and objectives of the organization.
The Strategic Sourcing Category Manager operates as part of a team responsible for the overall category, contracting, and management of the bank’s supplier population. This role is pivotal in managing third-party risk through a consistently applied and sound managed category/contracting process, coupled with effective contracts and corporate governance controls.
Key Responsibilities of a Strategic Sourcing Category Manager
The role of a Strategic Sourcing Category Manager is multi-faceted, involving a range of responsibilities. These responsibilities encompass not only the development and execution of strategic plans but also the monitoring and reporting of category performance.
Strategic Development and Execution
The Strategic Sourcing Category Manager is responsible for working closely with key business partners and leadership to understand the organization’s direction, supply requirements, and corporate business objectives. This role also involves the strategic categorization of vendors, directing bidding procedures to drive the best possible commercial outcome for the bank, and leading negotiations when single-sourced opportunities require negotiation. This includes comparing vendor proposals to industry benchmarks and assisting the business unit in producing market studies to justify price and vendor selection.
Identifying Savings Opportunities
Another critical responsibility of this role is to identify savings opportunities. The Strategic Sourcing Category Manager should proactively identify opportunities for enterprise-wide relationship management and commodity-specific optimization of spend. This involves researching and understanding trends within the markets they support.
Analytical Reporting
The Strategic Sourcing Category Manager also facilitates the utilization of appropriate analysis methods used in the decision-making process. This includes the deciphering and determining of vendor consideration, selection, and performance. They are also responsible for conducting benchmarking, financial, and business analytics for long-range pricing and buy rationalizations.
Problem Resolution and Special Projects
In addition to their other responsibilities, the Strategic Sourcing Category Manager assists the business unit in problem resolution and is also entrusted with special projects and program management. This includes ensuring compliance with applicable federal, state, and local laws and regulations. For instance, they’re expected to maintain knowledge of and adhere to the organization’s internal compliance policies and procedures.
Requirements for the Role
The role of a Strategic Sourcing Category Manager demands a high level of expertise, experience, and education. Specific requirements include a high school diploma or its equivalent, with a Bachelor’s degree in Supply Chain Management, Accounting, Finance, or Business Administration preferred. A Master’s degree or JD degree is also preferred.
Experience-wise, the role requires 8+ years of experience in supply chain management, contract negotiation, vendor management, and third-party management within a highly regulated environment for large scale financial/banking, mortgage origination/servicing organizations. Furthermore, the individual must have specific and deep current category knowledge and experience in Information Technology and/or Facilities/Corporate Real Estate.
Finally, the role requires strong analytical and problem-solving skills, multitasking in a fast-paced environment, and general leadership/management skills. Proficiency in Excel, Word, PowerPoint, and Outlook is also essential.
Conclusion
The role of a Strategic Sourcing Category Manager is critical in today’s banking industry. With a focus on strategic planning, cost savings, and vendor management, this position helps to align procurement with the overall objectives of the organization. With the right skills, experience, and vision, a Strategic Sourcing Category Manager can make a significant impact on the success of a bank’s operations.
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