“A STUDY ON INVENTORY MANAGEMENT AT ACC LIMITED,
BENGALURU”
By
DARSHAN M
1JB21BA019
Submitted to
VISVESVARAYA TECHNOLOGICAL UNIVERSITY, BELAGAVI
In partial fulfillment of the requirement for the award of the degree of
MASTER OF BUSINESS ADMINISTRATION
UNDER THE GUIDANCE OF
Internal Guide: External Guide:
Mr. VIJAY KUMAR G Mr. CHANDRA DAS
Assistant Professor Human resource
Department of MBA ACC LIMITED.
BANGALORE
SJBIT, BANGALORE
DEPARTMENT OF MBA
S J B INSTITUTE OF TECHNOLOGY
B G S HEALTH AND EDUCATION CITY
Kengeri, Bangalore-560060.
AUGUST 2023
DECLARATION
I, DARSHAN M, hereby declare that the Project report entitled “A STUDY ON
INVENTORY MANAGEMENT AT ACC LTD, BANGALURU” prepared by me under the
guidance of Mr. VIJAY KUMAR G, faculty of MBA Department, SJB Institute of Technology
and external assistance by Mr. CHANDRA DAS, HUMAN RESOURCE, ACC LIMITED,
BANGALORE. I, also declare that this Project work is towards the partial fulfillment of the
university.
Regulations for the award of degree of Master of Business Administration by Visvesvaraya
Technological University, Belagavi. I have undergone a summer project for a period of Six Weeks,
I further declare that this Project is based on the original study undertaken by me and has not been
submitted for the award of any degree/diploma from any other University/Institution.
Place: Bangalore Signature of the student
Date: 28/08/2023
ACKNOWLEDGEMENT
The satisfaction & euphoria that accompany the successful completion of any task would
be incomplete without the mention of people who made it possible because “Success is
the abstract of hard work & perseverance, but steadfast of all is encouragement guidance”.
So I acknowledge all those whose guidance and encouragement served as a beacon light &
crowned our efforts with success.
I am grateful to his divine soul Sri Sri Sri Jagadguru Dr. Balagangadharanatha Maha
Swamiji and I am grateful to His Holiness Jagadguru Sri Sri Sri Dr. Nirmalanandanatha Maha
Swamiji for providing me an opportunity to complete my academics in this esteemed college.
I would like to express my profound gratefulness to his holiness Reverend Sri Sri
Prakashnath Swamiji, Managing Director, SJBIT for providing an opportunity to complete my
academics and present this project.
I am grateful to DR. K. V. Mahendra Prashanth, Principal for his kind co-operation and
encouragement.
I am extremely grateful to Dr. Mamatha J , Head of the Department of Management
Studies (MBA), for her co-operation and encouragement.
I express my deepest gratitude and sincere thanks to Mr. VIJAY KUMAR G, Assistant
Professor, Department of MBA, for the valuable guidance throughout my project.
I express my deepest gratitude and sincere thanks to Mr. CHANDRA DAS, HUMAN
RESOURCE, ACC LIMITED, BANGALORE, for his valuable guidance during the course of
this project and continuous suggestions to make the project successful.
I am highly indebted to Dr. Harshini C S, Project Coordinator, who has been source of
inspiration to me and has extended his fullest support throughout the project duration.
I also thank all the staff members of MBA Department for their help during the
course of my project.
Last but not the least I thank my parents, family members & friends, for their
continuous and great support and encouragement throughout my project.
Regards,
DARSHAN M
TABLE OF CONTENTS
CHAPTER TITLE OF THE CHAPTER PAGE NO.
NO.
1. Introduction 1-12
2. Conceptual Background & Literature review 13-21
3. Research Design 22-26
4. Analysis & Interpretation 27-44
5. Findings, Conclusion & Suggestion 45-47
6. Bibliography
7. Annexure
LIST OF TABLES
TABLE NO. PARTICULARS PAGE NO
4.1 Table Showing Inventory Turnover Ratio 28
4.2 Table Showing Raw Material Turnover Ratio 30
4.3 Table Showing Work- in-process turnover Ratio 32
4.4 Table Showing Finished Goods Turnover Ratio 34
4.5 Table Showing Comparison of Turnover Ratio
36
4.6 Table Showing Inventory Holding Period 37
4.7 Table Showing Comparison of all Inventory Holding Period 38
4.8 Table Showing ABC Analysis 41-44
LIST OF GRAPHS
TABLE NO. PARTICULARS PAGE NO
4.1 Graph Showing Inventory Turnover Ratio 29
4.2 Graph Showing Raw Material Turnover Ratio 31
4.3 Graph Showing Work- in-process turnover Ratio 33
4.4 Graph Showing Finished Goods Turnover Ratio 35
4.5 Graph Showing Comparison of Turnover Ratio 36
4.6 Graph Showing Inventory Holding Period 37
4.7 Graph Showing Comparison of all Inventory Holding Period 39
Executive Summary
The inventory management study conducted at ACC Limited aimed to optimize the company's
inventory control practices to enhance efficiency, reduce costs, and improve overall performance.
Through a comprehensive analysis of ACC Limited's inventory processes, several key findings
emerged.
Firstly, the study revealed that the company had excess inventory levels, resulting in increased
carrying costs and tied-up capital. This excess inventory was primarily due to inaccurate demand
forecasting and inefficient procurement practices. Secondly, the study highlighted the need for
improved inventory tracking and monitoring systems, as manual methods were prone to errors and
delays. Finally, the study recommended the adoption of modern inventory management software
and the implementation of Just-In-Time (JIT) inventory principles to streamline operations, reduce
carrying costs, and enhance responsiveness to market fluctuations.
By implementing these recommendations, ACC Limited can anticipate significant improvements
in its inventory management practices, leading to cost savings, improved working capital
utilization, and a more competitive position in the market.
Please note that this is a general template, and the specific findings and recommendations would
need to be tailored to the actual results of ACC Limited's inventory management study.
