IMPACT OF INVENTORY MANAGEMENT ON ORGANIZATIONAL PERFORMANCE (STUDY OF INNOSON MANUFACTURING COMPANY LIMITED ENUGU)

ABSTRACT This research focused on the impact of inventory management on organizational performance (A case study of Innoson manufacturing Company, limited, Enugu State). What necessitated this study were the inadequacies of inventory management in the manufacturing industries and how much adequacies of inventory affect safety stock, product quality and sales revenue. The objective was to determine how raw materials, work-in- progress and finished goods affects measures of organizational performance. The instrument used for data collection were questionnaire and oral interviews. The population of the study comprises of 120 staff on Innoson manufacturing company limited, Enugu State while the sample size is 92 staffs. The technique used was chi-square for tasting of hypothesis and simple percentage was used for data analysis. The finding showed that there is a relationship between material management and safety stock, no relationship between managing finished goods and sales revenue in Innoson manufacturing company limited, Enugu State. The study concluded that raw material should be controlled for source, which would inevitably reduce safety stock, and also finished goods should be effectively managed for continually increase sales revenue