Effect of Inventory Management Digitalization and the Performance of Supply Chain: Case study of Ubipharm Rwanda Wholesalers

Yves Iragena and Desire Nimpano
University of Kigali
Email: yvesurageba67@gmail.com

Abstract: This study examined the effect of digital inventory systems on supply chain performance at UBIPHARM RWANDA. Specifically, it examined whether computerized inventory records, integration with other business systems, improved stock-record accuracy, and reduction of medicine stock-outs were associated with better supply chain performance. A mixed research design was used, with quantitative and qualitative approaches. The study targeted 32 employees, and census sampling was used, resulting in a 100% response rate. Data were collected using structured questionnaires and interviews and analyzed using SPSS. Descriptive statistics and Pearson Product Moment Correlation were used to summarize the findings and establish the relationship between digital inventory systems and supply chain performance. The findings showed a moderate level of digital inventory-system implementation, with an overall mean of 3.61. Pearson correlation showed a strong positive and statistically significant relationship between digital inventory systems and supply chain performance (r = .716, p = .000, N = 32). The original multiple regression output further showed a positive and statistically significant contribution of digital inventory systems within the broader model (β = .394, t = .304, p = .003). The study concludes that stronger digital inventory systems are associated with improved supply chain performance and recommends strengthening system integration, staff capacity, inventory reconciliation, and technical support.