Inventory Management and Operational Efficiency in an Electronic Company: A Basis for Workflow Framework

Abstract

In today’s competitive electronics manufacturing industry, efficient inventory management is essential for profitability and smooth operations. This study explores how structured inventory practices improve operational efficiency at KAP Company in Calamba, Laguna. The research focuses on six key practices—maintaining optimal stock levels, aligning inventory with demand, prioritizing critical items, removing bottlenecks, integrating supply chain processes, and eliminating waste—and evaluates their impact on reducing costs, speeding up production cycles, improving resource use, increasing throughput, and boosting productivity. Data from 87 employees directly involved in inventory and operations were analyzed to identify which practices most strongly drive efficiency. Results will guide the development of a practical workflow framework tailored to KAP Company, offering managers and decision-makers clear strategies to optimize inventory systems, strengthen cash flow, and achieve operational excellence. Beyond the company, the study provides valuable insights for the wider electronics manufacturing sector in the Philippines.