Minimizing Excessive Inventory Losses in a Ceylon Tea Manufacturing Company
Silva, Heenatigala Kankanamge Chethika Nadishani (2024)
2024
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https://urn.fi/URN:NBN:fi:amk-2024060320349
https://urn.fi/URN:NBN:fi:amk-2024060320349
Tiivistelmä
The purpose of this thesis is to analyze excessive inventory losses experienced by a Ceylon tea manufacturing company and provide feasible and productive suggestions to solve the problem. The study also outlines the recommendations on how to minimize the impact of such excessive inventory losses. Therefore, this study leads to investigating the reasons for excessive inventory write-offs and how it can be minimized to increase the company’s profitability as much as possible. The commissioner, Ceylon tea manufacturing company is referred to as COMPANY X throughout this report.
The COMPANY X has been experiencing many cash losses due to the excessive inventory write-offs that they had been charging to the profit and loss statements of the company for many years. It is important to reduce the inventory write-offs to reduce the burden on profitability of COMPANY X.
The research methodology employed in this study is qualitative in nature, utilizing a case study approach. Data was collected through unstructured questionnaires administered to key stakeholders within COMPANY X, including factory managers, senior officers in the operations management team, and factory workers, via online interviews.
Through the analysis of gathered data, this study provides insights and understanding on the factors contributing to COMPANY X's inventory write-offs. By understanding the root causes, feasible and productive suggestions are formulated to tackle the problem effectively.
The recommendations outlined in this thesis aim to minimize the impact of excessive inventory losses on COMPANY X's profitability. Implementing these suggestions is anticipated to not only reduce the financial burden but also optimize operational efficiency within the company.
The COMPANY X has been experiencing many cash losses due to the excessive inventory write-offs that they had been charging to the profit and loss statements of the company for many years. It is important to reduce the inventory write-offs to reduce the burden on profitability of COMPANY X.
The research methodology employed in this study is qualitative in nature, utilizing a case study approach. Data was collected through unstructured questionnaires administered to key stakeholders within COMPANY X, including factory managers, senior officers in the operations management team, and factory workers, via online interviews.
Through the analysis of gathered data, this study provides insights and understanding on the factors contributing to COMPANY X's inventory write-offs. By understanding the root causes, feasible and productive suggestions are formulated to tackle the problem effectively.
The recommendations outlined in this thesis aim to minimize the impact of excessive inventory losses on COMPANY X's profitability. Implementing these suggestions is anticipated to not only reduce the financial burden but also optimize operational efficiency within the company.