Key Responsibilities and Required Skills for Raw Materials Planner
💰 $65,000 - $90,000
🎯 Role Definition
The Raw Materials Planner is a critical strategic role within the supply chain, acting as the central point of control for the inbound flow of all raw materials and components. This position is responsible for translating production demand into a detailed material requirements plan, ensuring that materials are available at the right time, in the right quantity, and at the right cost to support uninterrupted manufacturing operations. The planner is the key liaison between procurement, production scheduling, suppliers, and inventory management, balancing the competing goals of high service levels and optimal inventory investment. Success in this role directly impacts production efficiency, cost of goods sold, and the company's ability to meet customer commitments.
📈 Career Progression
Typical Career Path
Entry Point From:
- Junior Buyer / Procurement Specialist
- Production Scheduler
- Inventory Analyst or Coordinator
- Supply Chain Coordinator
Advancement To:
- Senior Raw Materials Planner / Senior Supply Chain Planner
- Supply Chain Manager
- Procurement Manager / Sourcing Manager
- Planning Supervisor or Team Lead
Lateral Moves:
- Demand Planner
- Finished Goods Planner
- Logistics Planner or Analyst
- Master Scheduler
Core Responsibilities
Primary Functions
- Analyze demand signals, production schedules, and Bills of Material (BOMs) to accurately forecast raw material and component requirements.
- Develop and execute a comprehensive materials plan using MRP (Material Requirements Planning) systems to ensure timely availability for production lines.
- Create, issue, and manage purchase orders with domestic and international suppliers, ensuring accuracy of pricing, delivery dates, and terms.
- Proactively monitor and manage raw material inventory levels to meet production needs while minimizing excess stock, carrying costs, and risk of obsolescence.
- Serve as the primary point of contact for suppliers regarding order status, delivery schedules, and performance, building strong, collaborative relationships.
- Expedite or de-expedite material deliveries as needed by closely collaborating with production scheduling and suppliers to respond to changes in the master production schedule.
- Actively track supplier on-time delivery performance, quality, and responsiveness, providing feedback and participating in supplier performance reviews with the procurement team.
- Identify and resolve potential material shortages, supply chain disruptions, and delivery issues before they impact production, developing and communicating a clear recovery plan.
- Maintain data integrity within the ERP/MRP system, including lead times, safety stock levels, minimum order quantities (MOQs), and other key planning parameters.
- Conduct regular analysis of inventory data to identify slow-moving or obsolete materials (SLOB), and drive initiatives for their disposition or consumption.
- Coordinate with warehouse and logistics teams to ensure the smooth receipt of inbound materials and resolve any discrepancies in quantity or quality.
- Support new product introduction (NPI) projects by planning for new raw materials, establishing initial inventory levels, and coordinating with R&D and procurement.
- Generate and present key performance indicators (KPIs) and reports related to material availability, inventory turns, stock-outs, and supplier performance.
- Lead or participate in continuous improvement projects aimed at optimizing planning processes, reducing costs, and improving overall supply chain efficiency.
- Reconcile and resolve invoice discrepancies with suppliers and the accounts payable department to ensure timely payment and maintain good supplier standing.
- Manage the phase-in/phase-out of materials related to product lifecycle changes, minimizing write-off costs and ensuring a smooth transition.
- Evaluate and communicate the impact of supply constraints or allocation issues to internal stakeholders, including production, sales, and customer service.
- Collaborate with the Quality Assurance team to manage non-conforming materials and coordinate their return or disposition with suppliers.
- Develop contingency plans for critical materials or single-source suppliers to mitigate supply chain risks and ensure business continuity.
- Analyze and validate long-range material forecasts against supplier capacity and market trends to provide strategic insights to the procurement team.
Secondary Functions
- Support ad-hoc data requests and exploratory data analysis to answer critical business questions related to inventory and material flow.
- Contribute to the organization's broader supply chain strategy and participate in roadmap development for planning systems and processes.
- Collaborate with various business units, such as finance and commercial teams, to translate their data needs and market intelligence into engineering and planning requirements.
- Participate in sprint planning, daily stand-ups, and other agile ceremonies as part of cross-functional project teams.
Required Skills & Competencies
Hard Skills (Technical)
- MRP/ERP System Proficiency: Deep, hands-on experience with major systems like SAP (MM/PP modules), Oracle, JDE, or similar enterprise planning software.
- Advanced Microsoft Excel: Mastery of Excel for data analysis, including pivot tables, VLOOKUP/INDEX-MATCH, complex formulas, and data visualization.
- Inventory Management Principles: Strong understanding of inventory control techniques, including safety stock calculation, EOQ, ABC analysis, and Kanban.
- Supply Chain Planning: Comprehensive knowledge of end-to-end supply chain processes, from forecasting and demand planning to procurement and logistics.
- Data Analysis & Reporting: Ability to extract, analyze, and interpret large datasets to make informed decisions and communicate findings effectively.
- Forecasting Methodologies: Familiarity with statistical forecasting models and the ability to apply them to material planning.
- Bill of Materials (BOM) Management: Experience in reading, interpreting, and managing multi-level BOMs within an ERP system.
- Supplier Relationship Management (SRM): Skill in managing communications and performance with a diverse supplier base.
- Procurement & Purchasing Fundamentals: Understanding of the procure-to-pay process, including purchase order management and basic negotiation tactics.
- APICS/ASCM Certification: CPIM (Certified in Planning and Inventory Management) or CSCP (Certified Supply Chain Professional) is highly regarded.
- Capacity Planning: Ability to assess supplier capacity against long-term forecasts and identify potential bottlenecks.
Soft Skills
- Strong Analytical & Problem-Solving Skills: An exceptional ability to identify the root cause of issues, evaluate options, and implement effective solutions.
- Excellent Communication & Interpersonal Skills: The capacity to clearly and concisely communicate complex information to suppliers, peers, and leadership.
- High Attention to Detail: Meticulous and accurate in managing purchase orders, inventory data, and system parameters.
- Proactive & Results-Oriented: A self-starter mindset focused on anticipating future needs and driving for tangible outcomes.
- Ability to Work Under Pressure: Poise and resilience in a fast-paced environment with shifting priorities and tight deadlines.
- Negotiation & Influence: The ability to influence stakeholders and negotiate with suppliers to achieve favorable outcomes.
- Collaboration & Teamwork: A proven track record of working effectively across different functions to achieve common goals.
Education & Experience
Educational Background
Minimum Education:
- Bachelor's Degree
Preferred Education:
- Master's Degree in a relevant field or an MBA.
- Professional certification such as APICS CPIM or CSCP.
Relevant Fields of Study:
- Supply Chain Management
- Business Administration
- Operations Management
- Logistics
- Industrial Engineering
Experience Requirements
Typical Experience Range: 3-7 years of direct experience in materials planning, production planning, procurement, or a closely related supply chain function within a manufacturing environment.
Preferred: Experience in a high-volume, fast-paced industry such as consumer packaged goods (CPG), automotive, electronics, or pharmaceuticals is highly desirable. Experience working with international suppliers and managing global supply chains is a significant plus.