Influence of Inventory Control Systems on Supply Chain Performance of Selected Retail Pharmacies in Kicukiro District, Rwanda

Honorine Byiringiro and Joseph Akakumuntu
University of Kigali
Email: byhonorine@gmail.com

Abstract: This study examined the effect of inventory control techniques on supply chain performance in selected retail pharmacies in Kicukiro District, Rwanda. Specifically, it examined the effect of inventory control techniques on supply chainperformance. A descriptive and correlational research design was adopted using a quantitative approach. The study targeted 85 Responsible Pharmacists, from whom 83 respondents completed and returned the questionnaires. Data were collected through structured questionnaires and analyzed using SPSS. Descriptive statistics, Pearson Product Moment Correlation, and regression analysis were used for quantitative analysis. The findings revealed that inventory control techniques were highly practiced, with an overall mean of 3.80. The Pearson Product Moment Correlation analysis revealed a very strong positive and statistically significant relationship between inventory control techniques and supply chain performance (r = .982, p = .000, N = 83). Regression analysis further showed that inventory control techniques had a positive and statistically significant contribution to supply chain performance, with a standardized coefficient of β = .759, t = 10.273, p = .000 within the multiple-predictor regression model. The study concluded that inventory control techniques significantly contribute to supply chain performance in retail pharmacies. It recommends strengthening ABC/VEN classification, improving the application of Economic Order Quantity (EOQ), using demand-based ordering, aligning procurement with market demand, strengthening inventory monitoring, and improving the management of slow-moving medicines to enhance supply chain performance.