Order Fulfillment in Supply Chain Management: Does the Dimension of Inventory Management Matter in the Aerospace Industry in Malaysia?

Abstract

Inventory management is important in meeting customers’ requirements. Similarly, theeffectiveness of supply chain management in the order fulfillment process is criticalfor the organization to stay in business. Inventory determines the service level of anyorganization as the adequate and timely flow of inventory across the supply chainand manufacturing processes is imperative for the success of the organization. Thisensures high rating on order fulfillment and ensures profitability. In the supply chain,inventory management is a critical part of the process as inventory is an asset andany shortage of inventory impact performance negatively. To keep the right level ofinventory is a challenge for all companies and the challenge is becoming more complexwith the drastic and frequent changes in demand. This also makes the forecastingprocess more tedious and difficult. The constant changes in customer preferenceswith the increases in demand have affected order fulfillment as most manufacturingfacilities do not have the additional capacity to cope with sudden increase in orders.They require huge investment and with the shortening of product life cycle, the periodto apportion return on investment has to be relatively short compared to the pastexperience. This affects working capital and increasing working capital is not aneasy task unless the organization is wealthy. As Malaysia embarks on the aerospaceindustry, the dilemma for the manufacturers are similar. The high cost of raw materialsin inventory and inventory holding significantly affects order fulfillment. The findingsof this study differs from the normal business inventory management practices, thusoffering new knowledge and learning curve in the inventory management context ofthe high technology industry, in particular, the aerospace. The findings indicate thatinventory management or the inventory conversion period has an inverse relationshipwith organization’s profitability.

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“…Stress Response Theory explains how fish react to stress by releasing cortisol, with prolonged exposure potentially suppressing immunity and increasing infection and mortality risks (Husin & Ibrahim, 2022;Azra et al, 2021;Lee & Viswanathan, 2019). Disease Ecology Theory delves into the environmental, host, and pathogen factors affecting disease prevalence in fish populations, highlighting the interplay of these factors in disease transmission dynamics (Minai et al, 2016;Mat & Kadir, 2016;Ahmad & Zabri, 2016). These theories underscore the need for comprehensive strategies in managing Patin fish health, including addressing stress factors, environmental conditions, and pathogen management to reduce mortality rates and ensure sustainable aquaculture practices.…”