Abstract:
This study investigates the impact of inventory management practices on the
operation of economic centers in Sri Lanka, focusing specifically on the Dambulla,
Meegoda, and Keppetipola. The research is driven by a notable discrepancy between
the volume of vegetables produced and the amount effectively distributed through
these centers, raising concerns about inefficiencies within the inventory systems. The
study examines four key dimensions of inventory management: storage capacity,
storage facilities, stock monitoring and control, and automation and technology as
independent variables influencing overall inventory performance. A quantitative
research approach was adopted, employing a structured questionnaire distributed
among 110 respondents involved in inventory-related roles across the selected
economic centers. Data analysis was conducted using descriptive statistics, reliability
and validity testing, Pearson correlation, and multiple regression analysis via SPSS.
The findings reveal strong positive correlations between the independent variables
and inventory management practices, except for stock monitoring and control, which
showed a weaker association. The results emphasize the significance of adequate
storage infrastructure, technological adoption, and efficient capacity utilization in
minimizing waste and enhancing distribution efficiency. However, limitations in real time stock monitoring systems and manual tracking methods continue to undermine
inventory accuracy. The study concludes with strategic recommendations to improve
inventory practices through digital transformation, capacity planning, and
infrastructure development, thereby enhancing the effectiveness of Sri Lanka’s
economic centers in supporting the agricultural supply chain.
