Effect of Inventory Management on Organizational Productivity

Description

– Effect of Inventory Management on Organizational Productivity –

Download Effect of Inventory Management on Organizational Productivity. Students who are writing their projects can get this material to aid their research work.

Abstract

This study will examine the effect of inventory management on organizational productivity [a case study of Unilever Nigeria plc].

The purpose of the study is to examine whether adequate arrangement are made for the purchase of inventory in an organization and critically appraise the effect of internal control system, inventory control system which is capable of preventing pilferage, obsolesce and waste among others.

Research questions will be selected for the study and research hypotheses will also be formulated to guide the study. They are inventory management in an organization does not result to minimum control materials, reduction of inventory in stock does not disrupt the production.

The distribution cycles, inventory control does not affect the effectiveness and efficiency of the organization, inventory management does not guarantee the availability of materials in the store and inventory control does not ensure that only relevant materials are kept in the store.

Introduction

1.1 Background of the Study

The effective and efficient functioning of a productive system requires the regular demand and supply of inventory at the input transformation and output phases of the production process.

Management is also seen as the effective and efficient utilization of resource for the achievement of organization objective to ensure the achievement of the objective there must be free flow of material, unencumbered at every stage of the production process.

In Nigeria today, there are many drugs production companies in the industry and they all source their raw materials from few of not the same market. With the present economic meltdown, the organization is after theses scare resources to produce their product.

Therefore the urgency for the effective and efficient management of inventory in the form of raw material, work in progress and finished good constitute a significant proportion of asset of most organization.

But why is it pertinent to keep an eye on these items on other words, why do we engage in inventory management?

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