AN ASSESSMEN OF INVENTORY MANAGEMENT SYSTEM IN COSMETICS MANUFACTURING IN ZENITH GEBS- ESHET PLC AND YTY COSMETICS MANUFACTURING.

Abstract

The purpose of the study to assess the inventory management system of cosmetics manufacturing in Zenith Gebs-Eshet plc and YTY cosmetics manufacturing. The research adopted descriptive study design and purposive sampling technique. The researcher used a sample size of 80 employees from the target population to act as sample size. The research used questionnaire and observation of the researcher. The collected data were analyzed quantitatively. The finding disclosed that furthermore the management of Zenith Gebs-Eshet plc and YTY cosmetics manufacturing improvement is required in areas like follow up the operations of the inventory management process by strengthening the internal auditor teams, facilitating surprise inventory count and create accountability for those staffs who are negligent to record inventory items. The study result revealed the companies has enough ware house for storing of goods and easy for supervision of materials as well as personnel. However, the companies were not effectively used first in, first out (FIFO) inventory system for managing inventory items and from expire and damage. And the companies have clear Procedures used to control cost buildup and early Receive the purchase goods and entered upon the stock register and also that the product were produced with expired date tag, however the managements were not properly and effectively act to dispose expired items and scrap material timely. More importantly, this study provides strong evidence for the management of the companies because the questioner is collected directly from the employees of the company engaged in inventory management daily operation. From a positive social change perspective, these findings may help to advance inventory management knowledge in cosmetics manufacturing. Finally, this study recommend to revise the company inventory accounting system procedure to use the store in accurate way and to control the items recommends that the managements of the company should work hard to keep on the its superior inventory management activities and try to overcome the shortcomings which were identified by this survey.