EFFECT OF INVENTORY MANAGEMENT PRACTICES ON OPERATIONAL PERFORMANCE OF FLOUR MILLING COMPANIES IN NIGERIA

This study examined effect of inventory management practices on the operational performance of flour milling companies in Nigeria. Crosssectional survey research design was used. The target population comprised 2,237 staff of selected flour milling companies. A stratified random sampling technique was used to select the sample size of 776. A structured questionnaire was used to collect data.Hypotheses were tested using inferential statistics with the aid of SPSS. The findings revealed that inventory shrinkage had a significant negative effect on customers’ satisfaction. There was a significant relationship between inventory control and cost effectiveness of selected flour milling companies. The study concluded that inventory management practices significantly affect
operational performance of flour milling companies in Nigeria. The recommendation focused on ensuring that stocks are sufficient to meet production requirements and customer demands at all times.