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Specifying Inventory Needs and Strategies for Smooth Conduct of Business Operations

Journal of Commerce and Accounting Research

Volume 4 Issue 1

Published: 2015
Author(s) Name: Vipul Chalotra | Author(s) Affiliation: Assistant Professor, Dept. of Commerce University of Jammu, Udhampur campus, Jammu & Kashmir, India
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Abstract

Inventory forms the major part of current assets of the business and therefore requires apt strategies for its effective controlling in order to conduct smooth flow of business operations. The paper presents an empirical analysis of inventory control for smooth business operations. The primary data for the study were collected from 44 SSI managers/owners in Udhampur district of J&K state through census technique. BTS and Cronbach-alpha stood as basis for ensuring validity and reliability of the scales in the construct. The purified data after factor analysis were analyzed with the assistance of varied multivariate tools. The results of hierarchal regression model revealed that effective inventory control and management lead to elimination of duplication in ordering, effective inventory control strategies results in reduction of material handling costs, effectual inventory control strategies assists in keeping obsolescence losses to the minimum and effectual inventory control strategies leads to reduction of transportation costs.

Keywords: Inventory, Control, Management, SSIs (Small Scale Industries)

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