Inventory Management Techniques for Grocery Shops in Bangladesh: A Study on a Grocery Shop in Khulna City

Abstract

The purpose of this study is to highlight or identify the inventory management strategies used by Bangladeshi grocery stores. Data was collected using the purposive sampling approach as part of a descriptive, survey, and quantitative investigation. Effective inventory management is a crucial part of each and every business enterprise to control the risk of overstock as well as stock-out. Both overstock and stock-out of the product are harmful to enterprises for optimizing revenue because overstock leads to wastage of product; on the other hand, stock-out leads to the loss of a regular and potential customer. For a grocery shop, the use of proper inventory management techniques is more important than for any other small enterprise because, usually, a grocery shop deals with more than 100 types of different products. Through the proper use of inventory management techniques, the possibility of overstocking and stock-outs in grocery shops may be reduced to a great extent. This paper presents effective inventory management techniques for grocery shops in Bangladesh based on a grocery shop in Khulna city named Babul Store, Khulna. There are a number of inventory control approaches that can be used to maintain appropriate inventory management. The objective of the study is to suggest some guidelines to the inventory manager so that they can easily avoid overstocking and stock problems and make all the necessary goods available in the right quantity at the right time. All the necessary data were collected from a grocery shop in Khulna city named Babul Store, Khulna. This study will suggest some guidelines that will help develop inventory management software for further analysis. Future scholars and Bangladeshi grocery store owners will undoubtedly benefit from this real-world example of how to manage and regulate inventory properly.