Overview

The study that provided the basis for this book was conducted in Oromia Coffee Farmers Cooperatives Union to investigate the challenges and opportunities of inventory management practices of the union. Chi-squared test was used to determine the relationship between variables and bivariate logistic regression was used to check the crude and independent effect of the explanatory variables on the dependent variable, inventory management performance of OCFCU. The cooperatives union had an overall effective inventory management practice. Effective physical inventory counting was annually undertaken in the union through perpetual inventory system by using vouchers, notes and formats and computerized data recording system. Inventory counting, inventory recording (including inventory system and electronic data collection system utilization), pre-numbered receiving in procuring inventory, store suitability for transportation, crosscheck between procure and issue receipts to control inventory, inventory auditing performance, and inventory management supervision performance were the factors that positively contributed to the effectiveness of inventory management performance of OCFCU.

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