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The effect of an inventory control system on organizational performances

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Abstract
Inventory control is one of the basic functions of every business economic success of any manufacturing company has a direct relationship with the efficiency of inventory control. The major objective was set out to examine how inventory control system can be used to evaluates the organization''s performance while its specific objective, cost objectives and smooth flow of goods through the production process. The methodology used for data collection included collection of primary data through questionnaires and secondary data were also obtained from published materials by eminent scholars and professionals on the field of study. The targeted population of the study was forty (40) employees of Dunlop Nigeria Plc Lagos drawn from three departments that are, store, production and purchasing, and supply department. The total of forty (40) questionnaires was administered in which thirty-five (35) were returned and only thirty-three of the returned questionnaires were valid. Therefore the sample size of thirty-three was presented and analyzed for the study. The data collected were analyzed using sample percentage and chi-square test to test the hypotheses. The findings concluded that there is a significant relationship between inventory control and organizations performance in Dunlop Nigeria Plc lkeja, Lagos. The study recommended among others, proper coordination and co¬operation between various departments dealing in materials, proper classification and codification of materials, planning of material requirements, control of purchase of materials through budgeting and internal check for effective inventory control. ...
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