International Journal of Academic Research in Business and Social Sciences

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Effect of Inventory Control Management on Mumias Sugar Retailers’ Satisfaction Level: A Survey of Mumias Sugar Retailers in Kiambu County, Kenya

Open access
This study aimed at exploring the effect of inventory control management on Mumias sugar retailers’ satisfaction level with a view of assessing its impacts and proposing a framework for improving retailers’ satisfaction level. The objectives of the study included: examining the effect of warehousing and distribution on Mumias sugar retailers’ satisfaction level; determining the effect of stock replenishment methods on Mumias sugar retailers’ satisfaction level; establishing the effect of inventory storage and retrieval systems on Mumias sugar retailers’ satisfaction level and to determine the effect of inventory costs on Mumias sugar retailers’ satisfaction level. The target population consisted of Mumias sugar retail outlets in Kiambu County and employed systematic random sampling technique. The sample size consisted of a total population of nighty seven (97) respondents who were shared equally among the three major constituencies of Kiambu County. This study adopted a descriptive research design and the findings of this survey were derived from descriptive data analysis based on the research questions presented to the target population. A response rate of 89% was obtained. Findings indicated that improved and efficient inventory control management had reduced the deterioration of sugar in the store; this has also improved satisfaction level of the retailers. Kiambu County Mumias sugar retailers prefer using continues review method to control the inventory in the warehouses. There is a strong deviation from the manual systems, thus many of the Mumias sugar retailers in the county had moved from using manual paper systems to automated system which is a more easier and efficient way of controlling the flow of sugar in their stores thus making sure that there is no sugar shortage in the warehouse. The major cost incurred by the Mumias sugar retailers in Kiambu County is the transport cost. Many sugar retailers had received complaints from their customers which had resulted due to delayed delivery of sugar to the customer’s destination and also as a result of hike in sugar prices due to warehouses running out of stock. The study therefore recommended that Mumias Sugar retailers should forecast market for their products so that they can stock enough inventories to avoid under stocks and reduce on damaged inventory. Mumias Sugar Company should adopt the new ways of communication like the use of social networks and other quick communication ways to ensure effective collaboration between the company and its retailers. The retailers should be encouraged to take insurance policies to insure their sugar stores against the various risks like fire and theft so as to prevent loss of commodity and other valuables. The sugar store owners should also provide their employees with safety working conditions and safety gears to prevent injuries among the employees.