Everything You Need To Know About A Sourcing Agent

by Procurement Freelancers Team

An agent in sourcing basically assists a company with the processes of locating several sources for products and suppliers at very low costs. Such an agent does this only to help a company save production costs. They either represent single employers or can run businesses serving several other companies in the market. They usually know the customs and always speak the native language. They intend to work closely with manufacturers and tour factories and do on-site testing. Sourcing agents are some of the biggest contributors to an organization as they take care of all organizational needs along with solving problems for a company to avoid unnecessary expenses on production.

You, as an employer of such an agent, should have knowledge about forms of compensation they will receive. They receive flat rate commissions which are usually advertised and ranges between 1-10 percent of a factory price. At the time of paying your suppliers, you should pay your agent of sourcing and tack it into their client’s invoice. Being a well-trained regional representative of an organization, you will always need an agent for your sourcing business.

Roles And Responsibilities Of An Agent In Sourcing

Take a look below to know in detail about the major 4 roles and responsibilities of such an agent.

Reviewing Projects And Factories

An agent of sourcing mainly filters best-suited projects for a company for handling ideally. But there is one reality for every business including sourcing is that not every project is a good fit. Sometimes, incomplete files sent by clients for quoting may lead a factory to guess on dimensions which can then lead to disastrous implications. Nearly every company makes sure that customers have a history of delivering on time along with having the production capability for making parts a client needs and, thus, will compensate shipment of out parts of tolerance. Sourcing agents ensure that a factory is a good fit for a client.


An agent of sourcing is highly required to communicate efficiently and promptly. A good agent will always make you understand processes and things that are going on at a particular moment. It is to make sure that clients’ requests can easily be understood by prospective factories and the same should happen in reverse as well. In foreign culture, it is made sure that questions from factories are not lost in translation. Alongside, it is ensured that proper negotiation is done with such factories for the benefit of a customer.


Agents of sourcing are highly involved in matters of logistical elements of an order. They will primarily be checking that factories are making shipments on time. Having freight and custom broker contacts in such a case is beneficial for such an agent. Alongside, they will make sure that important documents like the ISF are sent and filed on time. Maintaining every functional activity with logistics is very important for an agent while sourcing products or services.

Fixing Problems

Sometimes but often, there arrive shipment problems. A dimension could run late or might stay out of tolerance. In such a case, sourcing agents work hard to fix and correct any wrongs happening quickly and appropriately. Fixing problems and providing solutions to an entire business is one of the best works an agent of sourcing can perform.

What Needs To Be An Agent In Sourcing?

To be an agent in sourcing, you need to get some formal secondary education from a recognized college or university. You can also take any other type of formal training from any private institution. There are some common degrees of business and engineering which can be found at the time of choosing a course. Alongside, you should learn certain solid communication and negotiation skills for being a hardcore part of a company’s sourcing team for obtaining the best prices o products or services. A sourcing agent’s job role includes traveling a lot and that is why you should also acquire the same for managing global commerce. Moreover, your native place will not be fixed as your workplace but you also may be assigned to abroad to work.

Sourcing agents are mainly the middlemen between a domestic company and an overseas producer. Many companies seek such agents and for you, as an aspirant, getting the first job will be the most difficult stage. You should make yourself busy attending job fests and do every possible networking that will help you build strong relationships in order to get employed at a good and reliable company as an agent in sourcing. You will have enough potential opportunities in retail, technology, aviation or any other industry.

To the date you will have your fundamental skills of a sourcing professional, you will definitely be able to get transferred to a number of different economical sectors. Rather you need to understand that sourcing is versatile with its roles.

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