Title: Does inventory contribute to performance? An analysis of an Indian steel plant

Authors: Rashmi Ranjan Panigrahi; Padma Charan Mishra; Arpita Jena; Alaka Samantaray; Neelam Tandon

Addresses: GITAM School of Business, GITAM (Deemed to be University), Visakhapatnam, AP, 530045, India ' The Bisra Stone Lime Company Limited, Birmitrapur, Sundargarh, Odisha, 770033, India ' XIM University, Bhubaneswar, Odisha, India ' Institute of Business and Computer Studies, Siksha O Anusandhan (Deemed to be University), Bhubaneswar, Odisha, India ' Jagannath University, New Delhi, India

Abstract: Efficient management of inventory is a crucial aspect of every manufacturing industry. The Indian steel sector faces challenges in meeting customer demands and maintaining production efficiency. The paper investigates the impact of inventory management practices (IMP) on the operational performance (OP) of steel manufacturing firms. This research was undertaken at Rourkela Steel Plant (RSP), one of the top steel manufacturing units of Steel Authority of India Limited, Odisha, India. Structured questionnaires were used to collect data from key officials and managers of RSP, specifically from the production, purchasing, and warehouse departments. The study uses two statistical methods, including correlational analysis and regression analysis in examining the association between IMP and OP in RSP steel manufacturing firms. The analysis revealed that five IMP approaches were highly effective in enhancing the operational efficiency of RSP. The findings suggest that efficient inventory management can enhance the competitiveness and efficiency of the manufacturing industry.

Keywords: inventory management practices; IMPs; operational performance; steel manufacturing firms; India.

DOI: 10.1504/IJASS.2023.135727

International Journal of Applied Systemic Studies, 2023 Vol.10 No.4, pp.329 - 342

Accepted: 11 May 2023
Published online: 03 Jan 2024 *

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