Abstract

The purpose of the study was to evaluate the effect of material handling and material sourcing on profitability of Urwibutso Enterprise Ltd. The study was guided by the following research objectives: to determine the effect of stock control on profitability in Urwibutso Enterprise Ltd., to measure the impact of material logistic planning on profitability in Urwibutso Enterprise Ltd., to examine the role of material packaging on profitability in Urwibutso Enterprise Ltd., to assess the effectiveness of quality control of raw material on profitability in Urwibutso Enterprise Ltd. The study utilized   descriptive research design. The population of this research was 67 employees of Urwibutso Enterprise Ltd. and was given a questionnaire as a data collection instrument. Data obtained from the questionnaire were processed into SPSS. Purposive sampling technique was used and the questionnaires were used as instruments of data collection. The research findings imply that the material handling and material sourcing has positive effects on the profitability in Urwibutso Enterprise Ltd. The respondents strongly agree that the analysis about stock control (material stock accuracy, material consumption controls, and stock taking frequency) presented with an overall mean of 3.58 (Table 8). Analysis did for material logistic planning (preparation of logistic plans, smart material logistic goals, and usage of logistic plans), the respondents agree that is shown by the overall mean of 3.52 (Table 9). For the analysis of material packaging (appearance, protection, and disposability), respondents agree that is shown by the overall mean of 3.44 (Table 10). For the analysis of quality control of raw material (ingredients and finished product), respondents agree that is shown by the overall mean of 3.47 (Table 11). The researcher concluded that material handling and material sourcing (stock control, material logistic planning, material packaging, and quality control of raw material increase) play significant effect to the profitability of Urwibutso Enterprise Ltd. and the researcher recommended that Urwibutso Enterprise Ltd. should adopt the material packaging which is environmentally friendly and well standardized. These should be done by having a definite automated material packaging system that improves production scheduling, makes flexible manufacturing processes and fast and effective recognition of goods in the stores. This will aid in improving industries’ overall performance as much packaged materials can be traced easily and the location is identified.