INVENTORY CONTROL AS ASTRATEGY FOR EFFECTIVE PERFORMANCE OF AN ORGANIZATION:A CASE OF NAKUMATT SUPERMARKET IN KENYA

The rising numbers of business enterprises in Kenya has seen few of these businesses make it to the end or give anticipated profit by owners. Several factors including poor management, unfavourable government policy, inadequate capital and stiff competition has been associated to failure of these businesses. The main aim of this study is to access the impact of inventory management and control on the growth and success of small scale businesses in Kenya. The Specific objectives of this study being, to determine the level of understanding by the management of these businesses on issues of inventory management and control in businesses. Third, to determine factors those are limiting supermarkets from managing their inventories adopted by different businesses in controlling and managing its inventory. The study used a cross-sectional surveyed design to collect the required information. The target population of the study was 100 employees from two branches of Nakumatt supermarkets in Kenya. Questionnaires were used as a tool of data collection; the data was then analysed using descriptive statistics, frequent table and charts. The main findings of the study were; most of the small enterprises have not yet embraced the use of inventory control and management to the advantage of the business. Third, inadequate use of modern technology i.e. E.D.I has limited most of organizations from implementing inventory management and control systems given that they are still using old methods in carrying out their daily activities. The earlier business entity starts implementing inventory control systems in their operations the better for the future performance of their businesses. Inventory control by businesses, accrue to more profits due to reduced wastages and avoidance of unnecessary expenses hence boosting performance of businesses