A dissertation is submitted in Partial Fulfillment of the requirements for the
Degree of Masters of Science in Procurement and Supply Chain Management
(Msc. PSCM) of Mzumbe University
The aim of the study was to identify the factors influencing effectiveness of
inventory control of pharmaceutical supplies in Tanzania, case study ofMNH.
Specifically the study aimed to identify the inventory policies used to control
pharmaceutical supplies at MNH, determine the inventory control systems used to
monitor pharmaceutical supplies at MNH, to determine the effect of stocktaking on
inventory control of pharmaceutical supplies at MNH and to identify the
management control affecting inventory control of pharmaceutical supplies at MNH.
The researcher employed a case study design with the sample size of 133
respondents which was selected by using simple random techniques and purposive
sampling techniques. The primary and secondary data collected were analyzed
quantitatively and qualitatively by Descriptive statistics and regression model by the
help of SPSS version 20.
The findings from the study revealed that the inventory policy which was used to
control the pharmaceutical supplies at MNH was the Re-order, replenishment and
periodic review policy, the inventory control systems which were practically used to
monitor the pharmaceutical supplies was the VED analysis and ABC analysis. On the
effects of stocktaking which included; stock verification, disclosing fraud and
pilferage and identifies the value of items were statistically while the Management
control which are availability of finance, skilled personnel and capacity building
were also statistically significance
The study concluded that for MNH to have a proper control of inventories, several
factors should be adhered in order to ensure the effectiveness of pharmaceutical
supplies which includes; inventory policy, inventory control systems and
stocktaking.
The study recommends that for the organization to ensure its effectiveness in
inventory control of pharmaceutical supplies several factors should be put into
consideration for a better control of the items including; training and capacity
building, ensure availability of funds, the use of information technology systems and
ensure stocktaking is done