Abstract
M.Eng. (Industrial Engineering)
The purpose of this research was to investigate the factors affecting plasterboard inventory management in a warehouse at a South African company, hereafter referred to as Company X. Company X had multiple problems affecting inventory management. The prominent symptoms of inefficient inventory management were increased warehousing cost, excessive inventory, slow moving and obsolete stock, high scrap and poor cash flow in the organisation. The objective of this research was to address the factors affecting inventory management. This was a qualitative research study conducted in one company. The study sample comprised participants who were dealing with inventory management at Company X. Those who were not involved with inventory management were excluded from the study. A total of 15 participants were selected purposively for this study. Data was collected through face-to-face interviews using open-ended questions. A questionnaire was approved by the Ethics and Plagiarism Committee of the University of Johannesburg. Data was recorded using a voice recorder instrument and analysed using a thematic analysis approach with Atlas ti. 9.0 software. Four themes emerged in answer to the research objective: inventory management knowledge, warehouse management, effects of inventory management and factors affecting inventory management. The findings of the study revealed that factors affecting plasterboard inventory management in the warehouse were lack of training and knowledge amongst the experienced inventory managers, lack of management commitment and involvement, errors in sales forecasting, lack of standardisation of inventory policies and poor material management practices. The study recommends that Company X employ workers with the prerequisite education and offer adequate training on inventory management. Moreover, the company must adopt an effective sales and operations planning process and adopt relevant inventory management policies. These changes will have a significant impact on the success of the organisation. Understanding the factors and various inventory management approaches is critical to minimise waste in this and other organisations.