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Assessing the benefits and challenges of inventory management practices and systems in the South African automotive sector

Author

Listed:
  • Donna Tsakani Makhubele

    (Vaal University of Technology)

  • Chengedzai Mafini

    (Vaal University of Technology)

  • Douglas Zvinowanda

    (Vaal University of Technology)

Abstract

The study assesses the benefits and challenges of inventory management practices and systems in the South African automotive industry. The study used a qualitative approach in which focus groups and semi-structured interviews were conducted on 18 supply chain professionals drawn from the automotive sector in four provinces in South Africa. ATLAS.ti software was used to analyse data. The study generated two themes: the benefits and challenges of inventory management practices and systems. This study concludes that inventory management practices play a critical role within companies in the South African automotive sector since managing inventory is an indispensable part of the more extensive supply chain management (SCM) practice. Regarding inventory management challenges, SCM professionals find it difficult to retain the resilience required to adapt and react to any disruptive circumstances due to inadequate support from the South African government. Also, it appeared difficult to deal with this challenge as some companies within the South African automotive sector have limited resources, making it extremely difficult to deal with uncertainties when they arise. Key Words:Benefits, challenges, inventory management practices and systems, South African, automotive sector

Suggested Citation

  • Donna Tsakani Makhubele & Chengedzai Mafini & Douglas Zvinowanda, 2025. "Assessing the benefits and challenges of inventory management practices and systems in the South African automotive sector," International Journal of Business Ecosystem & Strategy (2687-2293), Bussecon International Academy, vol. 7(3), pages 290-312, June.
  • Handle: RePEc:adi:ijbess:v:7:y:2025:i:3:p:290-312
    DOI: 10.36096/ijbes.v7i3.835
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    References listed on IDEAS

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    1. Bara Kim & Jeongsim Kim & Sungji Lee, 2023. "Joint pricing and inventory control for a production–inventory queueing system," Annals of Operations Research, Springer, vol. 331(2), pages 787-805, December.
    2. Jasmina Žic & Samir Žic & Goran Đukić & Svetlana Dabić-Miletić, 2024. "Exploring Green Inventory Management through Periodic Review Inventory Systems—A Comprehensive Literature Review and Directions for Future Research," Sustainability, MDPI, vol. 16(13), pages 1-17, June.
    3. Laura A. Orobia & Joweria Nakibuuka & Juma Bananuka & Richard Akisimire, 2020. "Inventory management, managerial competence and financial performance of small businesses," Journal of Accounting in Emerging Economies, Emerald Group Publishing Limited, vol. 10(3), pages 379-398, May.
    4. Padang Wicaksono & Yulial Hikmah & Rayinda Nur Ilmiawani, 2023. "Productivity and Global Value Chains: A Tale from the Indonesian Automobile Sector," Economies, MDPI, vol. 11(10), pages 1-12, October.
    5. Aihie Osarenkhoe & Daniella Fjellström & Tove Gioeli & Anna Backer-Meurke, 2024. "Conceptual Framework for Unlocking Customer Satisfaction Drivers in Digital Vendor-Managed Inventory Systems," Administrative Sciences, MDPI, vol. 14(8), pages 1-29, August.
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