Inbound logistics involve the process of receiving and storing raw materials and components that

are needed for production. It involves managing the flow of goods from suppliers to the
company’s warehouses or production facilities, Demir, S., Paksoy, T., & Kochan, C. G. (2020).
This includes activities such as sourcing, purchasing, transportation, and storage. The inbound
logistics process begins when a company identifies the raw materials or components it needs for
production, Takita, A. M. V., & Leite, J. C. (2018). This may involve working with suppliers to
negotiate prices, delivery schedules, and other purchase agreement terms.

Once the materials have been sourced, the company must arrange transportation from the
supplier to the company’s warehouses or production facilities. This may involve coordinating
with freight carriers, customs brokers, and other logistics providers to ensure that the materials
are delivered on time and in good condition. The inbound logistics process is crucial in ensuring
that a company has the materials to operate efficiently and meet customer demand (Demir, S.,
2020). By effectively managing the flow of goods from suppliers to the companies like Kaziire’s
facilities, businesses can reduce costs, improve supply chain visibility, and increase their
competitiveness in the market.

To be more competitive and successful in today ought dynamic markets, companies to be more
capable of manufacturing product of high quality at low cost and providing highest customer
service as indicated by Poi, E. L., & Nwokah, N. G. (2022). In order to improve operational
efficiency organizations have to have effective mechanisms that aid in optimization of inventory
as it’s a key ingredient in production and improving on the sales of an organization Mujasi, B.
(2021). A firms performance is such a flexible term that may include different meanings for as
long as it focuses on the functioning and output of resources invested.

Operational performance therefore is the process of enumerating the efficacy and productivity of
inventory management of firms (Karaoğlu, U., 2023). Based on the above conceptualization by
the different authors, operational performance in this study is measured in terms of cost
reduction, quality of Kazire dinks and shortened lead-times.
The competition among companies and corporations forces them continually seek for
improvements to achieve and keep place in the market. In the dynamism of current time, in
which big brands are unstable and the cycle of life of their products are gradually shorter, adapt
the production means is becoming a matter of survival, once the products among competitors are
getting more and more similar, in technology and price as well. The differential consists,
therefore, in production costs, storage, distribution and transport, what it is called inbound and
outbound logistics. The companies, which are able to optimize their service and produce through
lean manufacturer, has the possibility of putting in the market,
1.2 Statement of the problem

When organizations properly implement their logistics and inventory management strategies,
there is reduction in lead-times, delivery of improved quality of products that lead to efficiently
manage costs (Panigrahi, R. R., et 2022). Kazire Company Ltd being one of the fast biggest local
drink manufacturing company in Uganda, it means it has an interface of customers with different
tastes and preferences. The company adopted an exotic way of packaging herbal products to best
portray in the market with quality branding and packaging. However besides that, it has a range
of product line that differ in quality and composition depend ending on the nutrient and multi-
function. Having a wide variety of products requires Kazire Company Ltd to have a robust
inbound logistic mechanism so as to meet the ever increasing demand from customers. To cope
up with the demand the company logistics interact with items such as tea leaves, coffee, a range
of herbs and other raw materials that it uses in production.

However, the lack of proper implementation and full automation of the logistics practices of
sourcing, purchasing, transportation and storage has led to consistent stock outs, expired items,
compromised quality and high costs of production which affect the operations of the
organization (Jagtap, S., 2020).Proper implementation and full automation of the above inbound
logistics practices would enable Kazire Company Ltd overcome the above challenges and hence
improve on the efficiency of the company. Therefore, this study aims at establishing the effect of
inbound logistics on operational performance of Kazire Company Ltd.

Demir, S., Paksoy, T., & Kochan, C. G. (2020). Logistics 4.0: SCM in Industry 4.0 Era:
(Changing Patterns of Logistics in Industry 4.0 and role of digital transformation in SCM).
In Logistics 4.0 (pp. 15-26). CRC Press.

Takita, A. M. V., & Leite, J. C. (2018). Inbound logistics: a case study. Business Management
Dynamics, 7(12), 14.

Demir, S., Paksoy, T., & Kochan, C. G. (2020). Logistics 4.0: SCM in Industry 4.0 Era:
(Changing Patterns of Logistics in Industry 4.0 and role of digital transformation in SCM).
In Logistics 4.0 (pp. 15-26). CRC Press.
Poi, E. L., & Nwokah, N. G. (2022). Inventory management and customer satisfaction of
petroleum marketing firms in Rivers State: The moderating role of market orientation. BW
Academic Journal, 16-16.

Mujasi, B. (2021). Inventory management practices and operational performance of fast food
restaurants: a case of Java house Uganda (Doctoral dissertation, Kyambogo University).

Karaoğlu, U., Mbah, O., & Zeeshan, Q. (2023). Applications of machine learning in aircraft
maintenance. J. Eng. Manag. Syst. Eng, 2(1), 76-95.

Panigrahi, R. R., Mishra, P. C., Samantaray, A., & Jena, D. (2022). Management of inventory for firms’
efficiency–a study on steel manufacturing industry. Journal of Advances in Management Research.

Jagtap, S., Bader, F., Garcia-Garcia, G., Trollman, H., Fadiji, T., & Salonitis, K. (2020). Food logistics 4.0:
Opportunities and challenges. Logistics, 5(1), 2.