ST.

PAUL UNIVERSITY SURIGAO

Surigao City, Philippines

INVENTORY MANAGEMENT
PRACTICES OF THE SELECTED
MEATSHOPS IN SURIGAO CITY

Researchers: Dugmoc, Delight

Clor, Jea
Leong, Evita Faith
OBJECTIVES OF THE STUDY

 To evaluate the inventory management used

by the selected Meatshops in Surigao City
 To recommend suitable suggestions for the
improvement of Inventory Management
Practices.
INVENTORY MANAGEMENT

 Ensure that stocks is effectively managed from

receipt to the point of consumption

 Reduce the level of excess inventory

 Thus, less capital is tied up in idle or
unproductive stock.
INVENTORY MANAGEMENT PRACTICES

PROCUREMENT
 Purchase planning of meat

 Standard of products

 Supplier research and selection

 Financing

 Price negotiation of meat

 Inventory Control
INVENTORY MANAGEMENT PRACTICES

STORAGE
 Safekeeping of goods to prevent spoilage for
an amount of time
INVENTORY MANAGEMENT PRACTICES

DISPOSING INVENTORY
 Locate obsolete items

 Dispose excess stocks;

 Through return to supplier, third-party sale,

and charitable donation.
 INVENTORY MANAGEMENT PRACTICES

INVENTORY CONTROL
 Effectively manage consumable stock items

 Help streamline stock rooms, supply depot

and small warehouse operation
 Provides item level visibility
Profile of The Business Inventory Management
Practices
• Ownership
• Number of Years of • Procurement
operation • Storage
• Capitalization • Disposing Inventories
• Monthly Average net • Inventory Control
income

Figure 1. Schematic Diagram of the Study

STATEMENT OF THE PROBLEM
1. What is the profile of the business firms in terms of:
1.1 Ownership;
1.2 Number of years of operation;
1.3 Capitalization;
1.4 Monthly average net income.

2. What is the Inventory Management Practices in terms of:

2.1 Procurement
2.2 Storage
2.3 Disposing of Inventories; and
2.4 Inventory Control.
3. Is there a significant difference of the inventory management
practices when they are grouped according to the business
profile?
HYPOTHESIS

At.05 level of significance, it was hypothesized that

there is no significant difference between the
profile items of the management-respondents and
their perceptions of the company’s management
practices.
SIGNIFICANCE OF THE STUDY
 Business Owner. This will be additional information about
procurement of raw materials and inventory management
practices. It will also remind them of the importance and
benefits of inventory control to their operations. Moreover,
the hiring requirements for the inventory control capabilities
of the warehousemen and other staffs assigned in the
inventory can now be updated.

 Retailing industry. They will get the current feedback on the

weaknesses or strengths regarding the practice of inventory
management.
SIGNIFICANCE OF THE STUDY
 Retailing industry. They will get the current feedback on the
weaknesses or strengths regarding the practice of inventory
management.

 Researchers. This study served as a great part of the

completion of the researcher’s course requirement. This
struggle gave them a lot of challenge in meeting new faces
and acquaintances and being aware of what’s happening in
the environment regarding this study. This experience
developed their self-esteem and has been an example of
leadership in interacting with others, increased their
vocabulary, and kept their determination to finish what they
have started. This also led them to discover new knowledge
and wide horizon.
SIGNIFICANCE OF THE STUDY

 Future researchers. This study will be an effective

tool and suggestion for the researchers who would
intend to make any further relevant and pertinent
study particularly the standards underlying the
inventory management.
SCOPE AND LIMITATION
This research focuses on the evaluation of
inventory management and practices of selected
Meatshops in Surigao City.

There are 3 meatshops involved in this research.

Manok ng Bayan, Kayasa meatshop, and Sinubong
Meatshop. The research for inventory management and
practices are limited only in procurement of raw
materials, storage, disposing of inventories, and
inventory control. This study was conducted during the
academic year (2018-2019).
DEFINITION OF TERMS
1. Ownership- Business organizations can have different
types and forms of ownership, in terms of types, the
business can be a service business , merchandising ,
manufacturing or hybrid. In terms of form it can be a sole
proprietorship, partnership, limited liability company or
cooperative.
2. Number of years- this is the period of time in which the
business is operating. It can be an effect on owner(s) in
dealing with their inventory management practices
3. Monthly Average net income- measures how profitable
the business is. With the average monthly income, the
owner or members of an organization can monitor their
earnings every month.
4.
4. Capitalization is a measure of a company's total value. It
is not the only measure, but one that financial investors
use to appraise and value a company.
5. Inventory Management Practices- Inventory practices
made by the management which include as to
procurement of raw materials, storage, disposing of
inventory, and inventory control.
6. Storage-it refers to the safekeeping of goods in a
depository of meat to prevent spoilage for an amount of
time.
7. Disposing inventory- it refers to both physically removing
properties from a department's active inventory into the
department of accountability for reporting and tracking.
8. Inventory control- it refers to the process of effectively
managing consumable stock items , parts or supplies and
it help streamline stock rooms, supply depot, and small
warehouse operation, and it provides item level visibility so
that you know what you have, where it is and when to
order more.
9. Inventory management –it refers to the management of
inventory and stock. As an element of supply chain
management, inventory management includes aspects
such as controlling and overseeing ordering inventory,
storage of inventory, and controlling the amount of product
for sale.
SYNTHESIS OF REVIEW
The cited literature shed lights clearly understand
rationale of the study. Tersine, Carson and Magenda
and other resources stated both have an idea or insights
in inventory management and it’s practices that can
clearly connect to the present study because it provides
clarification on the matters about inventory management
practices among the selected meat shop in Surigao
City. Hence, similarities between the present study and
the cited literatures established.
RESEARCH DESIGN
The researchers used the descriptive survey method to
realize the purpose of the study with the aid of survey
questionnaires. This method enables the researchers to
interpret the theoretical meaning of the findings and
hypothesis development for the further studies.
PARTICIPANTS
The participants are the owners and the staff of the 3
selected meatshops in Surigao City who are in charge in
the inventory management of the business. These
meatshops will be chosen based on the following
criteria: The business practice inventory counting, have
an Inventory Outlet, and Inventory management system
to keep track with their goods. Purposive sampling
method is applied.
RESEARCH INSTRUMENT
In this study, the instruments used are questionnaire,
which are necessity for descriptive method. The
questionnaire was self-made. The questionnaires for
management are divided into two parts. First
component concentrated on the business profile of
the selected Meatshops in Surigao City. The second
component pertained to inventory management and
practice of the business.
DATA GATHERING PROCEDURE
In this study, the researchers sent a formal letter of
request to the College of Dean for the permission to
conduct the study outside the campus university.
Then, another letter of request was sent to the
respondents for them to answer the questionnaire.
Upon the approval of the request, the request
administered the questionnaire to the participants
personally.
DATA ANALYSIS
The gathered data were treated the following statistical
tools:

Simple Frequency Count and Percentage

Distribution- These tools were used to describe the
demographic profile of the participants.
Mean (M) and Standard Deviation (SD)- This was
used in knowing the inventory management practices
among the selected meatshops in Surigao City.
Analysis of Variance (ANOVA)- This was used in
determining the significant difference of the inventory
management practices of the selected meatshop with
respect to the respondents profile variables.