PLAYER: Thomas Murphy, global procurement director, Instron, Norwood, Mass.

ANNUAL SPEND: $15 million, direct.

BIGGEST CHALLENGE: Leveraging the buy. "We manufacture small quantities of a lot of products. I work to get our suppliers of such components as ball screws to see us as the large customer that we are, not a small customer."

ENGINEERING INVOLVEMENT: Works closely with engineering staff early in projects to identify new technologies and cost-savings strategies.

C-LEVEL RELATIONSHIPS: Works directly with the company's executive committee at beginning of each year to establish strategic initiatives. Example: identified weak currencies as a potential problem, so moved some manufacturing from Europe to U.S. to boost cost effectiveness of manufacturing.

Tom Murphy brings broad experience to Instron

With a bachelors degree in political science from Boston College, Tom Murphy could have pursued several career tracks after graduation. He wound up as a buyer at Market Forge Industries, a company that makes commercial cooking equipment, and found that he really liked purchasing. From there, he went to Honeywell Electro-Optics, Caliper Life Sciences, Avery Dennison and Photovac, each time increasing his knowledge of purchasing fundamentals and gaining more knowledge of manufacturing and engineering. Those experiences prepared him well for his current responsibilities as global procurement director at engineering-centric Instron, a manufacturer of test equipment.

Among other things, I found I liked the technical nature of purchasing. I know how to read a blueprint and I enjoy technology. Most of the companies I have worked at have been highly technical.

Tell us about Instron

Instron makes equipment that evaluates the mechanical and physical properties and performance of materials, structures and components. There are plants in Norwood, MA, Binghamton, NY, Grove City, PA, Darmstadt, Germany and High Wycombe Bucks, England. I’m responsible for purchasing in Norwood, Binghamton and Grove City. Darmstadt and High Wycombe report to me on a dotted line.

Do you work as part of a group at the corporate level?

Yes, we have a strategic purchasing team, and I’m on it along with the vice president of manufacturing, the manufacturing VP in England and purchasing managers in England and Germany. We initially looked for ways to take advantage of the weak U.S. dollar and make savings. We approached European subsidiaries of U. S. companies who were suppliers and negotiated lower prices based on proximity and long-term partnerships.

How much in spend do you control?

I control $15 million in direct spend. I don’t track the indirect, but the largest of that is the leasing of cars. I’m also involved in software and computer purchases and negotiate freight forwarding contracts, printing, Fedex and UPS and translation of signage and labeling.

What are your biggest challenges?

Leveraging the buy is the biggest. We manufacture small quantities of a lot of products. I work to get our suppliers of such components as ball screws to see us as the large customer that we are, not a small company. We call in suppliers and commit to a certain amount of product and agree on lead times. We quote our customers four weeks to eight weeks on delivery so we need to keep the supply chain primed.

How do align with corporate objectives?

I work with the company’s executive committee to set objectives. At the beginning of the year we establish strategies, such as how we will deal with weak currencies.

Do you work with engineering?

Yes, I work closely with the engineers, especially early in projects to identify new technologies and cost-savings strategies.

How is purchasing evolving as a function?

Purchasing is gaining more visibility in companies. Planning and the supply chain are intertwined. How a company plans and buys materials and components affects the price of its products. We have shown that purchasing can make a big difference.