ROLE OF MATERIAL MANAGEMENT ON PERFORMANCE OF SUGAR MANUFACTURING INDUSTRIES IN KENYA CASE OF MUMIAS SUGAR COMPANY LIMITED
Abstract
The efficiency of any activity for production of goods and services depends to a great extent, on the supply of materials, equipment and manpower made available in their right proportions. A manufacturing firm will remain shaky if materials are under stocked, overstocked or in any way poorly managed. This study sought to establish the effect of material management on performance of Mumias Sugar Company Limited. The specific objectives of the study were to determine the role of materials procurement and inventory control on performance of sugar manufacturing industries in Kenya. The study adopted the descriptive design. The population under consideration which was the unit of analysis comprises of Mumias Sugar Company. The respondents for this study were drawn from the employee listings which were obtained from Mumias Sugar Company. Stratified random sampling was used to select 79 respondents in the Company. The sample of 79 was equivalent to 10% of the target population which is regarded as statistically significant in a descriptive study with a finite universe. The study utilized a research questionnaire. The researchers delivered the questionnaire and gave the selected respondent a maximum of 3 days after which the researcher collected the completed questionnaire for analysis. At the completion of the data collection process, the questionnaires were sorted, coded and analyzed. The Statistical package for social sciences (SPSS) was used to generate the required frequencies and percentages to answer the research questions. The study concluded that materials procurement and inventory control positively influenced the performance of sugar manufacturing industries in Kenya. the study recommended for full adoption of materials procurement tool as this function was found to helpful in auditing the invoicing, receipt and inspection of goods, quality control, supplier appraisal and clarification of payments. Manufacturing industries should implement inventory control system as they were found critical to lowering costs and providing a more streamlined operation. Manufacturing industries should have flexible supply chain emplace.
Key Words: Materials Procurement, Inventory Control, Materials Management
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DOI: http://dx.doi.org/10.61426/sjbcm.v4i1.418
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