Inventory Management Practices and Financial the Performance of Manufacturing Companies in Nigeria

The study scrutinized the Inventory Management and Financial Performance of Manufacturing Companies in Nigeria. In achieving this aim, the following specific objectives were laid out to determine to what extent the ineffective management of inventory in Pabod and Palm Nectar Breweries Plc has caused low productivity in the company and identify the degree to which poor inventory modern used by the company has resulted to low productivity in the company. The motivation that led to embarking on this research work is as a result of ineffective management of inventory in the manufacturing company specifically Pahod and Palm Nectar Breweries Limited Company and loss of sales or business of the company as a result of insufficient inventories of finished goods. The research design used in this report is descriptive design, utilizing questionnaire method to obtain information from the respondents for this project. A total of 177 (one hundred and Seventy-seven) respondents were selected for this study to represent the entire population of the study. For null hypotheses were formulated and tested using the one-way ANOVA and the t-test statistical tools at zero point zero five (0.05) level of significance. Primary data were collected from the primary source which questionnaire was used as an instrument of data collection while secondary data were sources from textbooks, journals, newspapers and the internet were employed. The data were presented on a frequency distribution table and analyzed using simple percentage, while hypothesis was tested using chi-square test. The study will be significant to manufacturing companies, firms and businesses as it will enable them keep an adequate inventory control and ensure that they do not run out of stock or have excess stock which can endanger their liquidity position. It is recommended with the suppliers and hold regular meetings with the suppliers to disseminate importance issues relating the inventory procurement.