Title: The effect of Inventory Management Practices and Performance of Small-Scale Industries in Uganda: A case of Rukiga District
Authors: Festus Katwereebere, Dr. John Bosco Turyasingura ; M/S Miria Nyangoma
Volume: 10
Issue: 4
Pages: 16-23
Publication Date: 2026/04/28
Abstract:
The purpose of this study was to examine the effect of inventory management practices on the performance of Small-Scale Industries (SSIs) in Rukiga District. This section presents the findings according to the study's objectives, namely: to examine the effect of reducing holding costs on SSI performance, to assess the effect of minimizing waste on Small-Scale Industries (SSI) performance, and to establish the effect of improving efficiency on Small-Scale Industries (SSI) performance. Data were collected from 115 respondents and analyzed using a mixed-methods approach, combining quantitative and qualitative analyses. Descriptive analysis, which entailed describing single variables and their attributes, was presented using frequency tables. At the bivariate level, a Pearson correlation matrix was employed to ascertain the relationships between the predictor variables and the dependent variable, while a linear regression model was used to fit the data. Findings from the regression analysis indicated that reducing holding costs (R = 0.762), minimizing waste (R = 0.689), and improving efficiency (R = 0.829) positively and significantly influence the performance of Small-Scale Industries (SSIs) in Rukiga District. The study concludes that effective inventory management through reducing holding costs, minimizing waste, and improving efficiency significantly enhances Small-Scale Industries (SSI) performance by increasing productivity, lowering operational costs, improving product quality, and strengthening competitiveness, profitability, and long-term sustainability. Accordingly, it is recommended that SSIs in Rukiga District adopt efficient inventory systems such as EOQ and JIT, implement lean practices, recycling, staff training, and waste-reducing technologies, and enhance efficiency through process streamlining, modern management practices, resource optimization, and appropriate technology utilization to improve overall performance.