Summary
Explores the Effect of Inventory Management Strategies on Performance of Plastic Manufacturing Firms.
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Authors
Maimuna Adan
Jane Munga
Mary Mbithi
Abstract
The essence of organizational performance lies in the entity's proficiency to produce outcomes within a set parameter in alignment with its goals. This study sought to investigate the effect of inventory management strategies on performance of plastic manufacturing firms in Nairobi County.A descriptive survey research design was utilized. The target population was 56 plastic manufacturing firms in Nairobi. A stratified sampling method was used to select a representative group while the Krejcie and Morgan formula was used to calculate the study’s sample size of 100 respondents. Data was collected through semi-structured questionnaires, pre-testing focused on reliability tested using Cronbach’s alpha. The data collection process involved distributing questionnaires to selected participants. Descriptive and Inferential analysis were used to analyse the data. Normality tests were conducted using the KolmogrovSmirnova test where the outcome was 0.171 which indicated that the data was normally distributed.The research findings unveiled that inventory management enables organizations to satisfy their customers' needs and build strong relations with suppliers, distributors, and other customers thus improving the overall business performance and concluded that iinventory management strategies have an impact on the performance of the manufacturing firms in Nairobi County. Plastic manufacturing firms should use inventory management to track movement of raw materials and finished goods in engaging with the services and products.