Manager- Procurement Cost Reduction

Job Title : Manager- Procurement Cost Reduction

Experience : 7 to 10 years

Location : Chennai

Job Description

Role Overview

We are seeking a highly motivated Manager - Automobile Procurement with strong experience in automotive direct materials sourcing, value engineering, and procurement cost optimization. The candidate should have hands-on experience in sourcing automotive components, supplier negotiations, cost reduction initiatives, and procurement transformation programs for OEMs and automotive suppliers.

The ideal candidate will have worked extensively on direct material procurement and demonstrated success in value engineering, should-cost analysis, localization, and strategic sourcing across multiple automotive categories.

Key Responsibilities

Procurement Strategy & Sourcing

• Lead strategic sourcing and category management initiatives for automotive direct materials.
• Develop sourcing strategies to optimize cost, quality, delivery, and supplier performance.
• Drive supplier identification, RFQ/RFP management, commercial negotiations, and contract finalization.
• Support clients in procurement transformation and operating model design.

Value Engineering & Cost Reduction

• Execute value engineering and value analysis initiatives across automotive components and assemblies.
• Conduct should-cost analysis and benchmarking to identify cost optimization opportunities.
• Lead procurement cost reduction programs through design-to-cost, localization, alternate sourcing, and supplier productivity improvements.
• Identify and implement total cost of ownership (TCO) improvement opportunities.

Automotive Category Expertise

Experience in sourcing and cost optimization across one or more of the following categories:

• Castings and forgings
• Machined components
• Sheet metal and fabricated parts
• Plastics and polymer components
• Electrical and electronic components
• Interior and exterior systems
• Powertrain and drivetrain components
• Chassis and suspension systems
• Fasteners, bearings, and standard parts

Supplier Management

• Evaluate supplier capabilities, cost structures, and operational performance.
• Drive supplier development and performance improvement programs.
• Manage supplier risk assessment and mitigation strategies.
• Support supplier negotiations for cost, tooling, investments, and long-term agreements.

Consulting & Client Management

• Work closely with automotive OEMs and Tier-1/Tier-2 suppliers on procurement excellence programs.
• Lead workshops and stakeholder discussions with procurement, engineering, manufacturing, and finance teams.
• Develop executive-level presentations and recommendations for client leadership.
• Manage project workstreams and mentor junior team members.

Required Qualifications

• Bachelor's degree in Engineering (Mechanical, Automobile, Production, Industrial, Manufacturing, or related field).
• MBA from institute like S P Jain - IIMs fine or any other reputed institute preferred.
• 4-10 years of experience in automotive procurement, sourcing, supply chain, or cost optimization.
• Prior experience with automotive OEMs, Tier-1 suppliers, engineering services firms, or consulting organizations.
• Strong understanding of automotive manufacturing processes and component cost structures.
• He should have worked in Auto industry in Sourcing department done value engineering/cost reduction of multiple categories
• Looking at someone who has bought direct material parts and done value engineering/procurement cost reduction.
• His work is more on implementing procurement platforms and indirect.

Required Qualification

Bachelor of Engineering - Bachelor of Technology (B.E./B.Tech.) ,