Abstract: THE ROLE OF INVENTORY MANAGEMENT IN SUPPLY CHAIN OPTIMIZATION
The objective of this study is to explore the role of inventory management in supply chain optimization, focusing on its impact on inventory levels, cost reduction, and service levels. A survey design is employed due to its effectiveness in collecting data from a diverse population. A sample size of 300 respondents is derived using Taro Yamane's formula to ensure representativeness. The case study is conducted in Kano, targeting a retail company known for its effective inventory management practices. The reliability coefficient score of 0.85 indicates high reliability. Findings suggest that effective inventory management significantly enhances supply chain optimization by maintaining optimal inventory levels, reducing costs, and improving service levels. Recommendations include adopting advanced inventory management systems and continuously monitoring inventory performance.
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