ASSESSMENT OF INVENTORY MANAGEMENT AND CONTROL SYSTEM: THE CASE OF AL-SAM PLC

Abstract

The purpose of this study is to assess the inventory management and control system in the case of AL-SAM PLC. The research targets the staffs that have direct dealings with inventory management and controlling systems in various departments of the organization. To obtain representative samples, in selecting the research respondents, purposive sampling method is applied; this sampling method helps to get respondents who have good insight of inventory. Therefore the study takes 96 respondents as target respondents. Both primary and secondary data were collected and The SPSS version 24 for windows is used. The study utilized both quantitative and qualitative data analysis techniques. To answer the research questions, descriptive statistics such as mean values, percentage and frequency tables are used. The finding of the study indicates that the internal controls over inventory were implementing in a good ways and there has to be an area which needs correction like ensuring compliance with company policies and accurate and reliable operating data and accounting reports. the study also finds that the company has being doing well in many aspects but still there are a problems which needs urgent response like regarding procurement processes, human capital development, discarding used and unnecessary materials and in managing customers demand. The researcher recommends that there is need for AL-SAM management to emphasize applying Optimized Inventory Management Techniques, Implementing Integrated and Automated Inventory Management System, Recruiting adequate and qualified staffs, Developing Employees Capacity, Implementing Proper Disposal System, Developing Up-to-date Inventory Management Policies & Procedures.