A restructuring of the stock management system in a car parts retailer : a case study

Abstract

Purpose: The main purpose of this study is to assess the case company’s inventory management practices, evaluate their effectiveness and where applicable propose procedures and processes towards stock management restructuring. Design: The research objectives of this dissertation were achieved by utilising both primary and secondary data. Primary data was obtained by means of observational periods within the case company, coupled with semi-structured interviews among its internal and external stakeholders. Secondary data was collected by referring to several different sources of information such as journals, local articles and books. Findings: This study revealed that there are various controls and procedures within the case company’s stock management system that may have enabled sufficient functionality in the past, however are inadequate for new complexities. In fact, a significant amount of the case company’s inadequacies have emerged as a consequence of new processes and products. Conclusion: Even though SMEs may be restricted by way of limited resources, most of the proposed procedures and processes are within the capabilities of the case company. Moreover, given the case company’s receptive culture towards change, there were various recommendations that were pilot tested during the research period. Value: Despite being a case study, the results of dissertation relating to both inventory management and restructuring can be equally applicable to other companies in different sectors.