[10] COST OPTIMIZATION USING ABC ANALYSIS IN TEXCOMS WORLDWIDE – COIMBATORE: CrossRef DOI: https://doi.org/10.56815/ijmrr.v5si1.2026.85-91

Mr. Ilango N; Mr. Ganesh M

Authors

Mr. Ilango N Assistant professor – Department of Management (PG) Sri Ramakrishna College of Arts & Science, Coimbatore, TN, India
Mr. Ganesh M Student, Department of MBA Sri Ramakrishna College of Arts & Science, Coimbatore, TN, India.

Abstract

Inventory management continues to be a strategic pillar of operational excellence and financial performance in the global supply chain
environment.This study titled Enhancing Inventory Management Efficiency: An Analytical Study at Texcoms Worldwide‖ examines the current inventory control system of Texcoms Worldwide, a Coimbatore-based textile machinery trading firm. The primary aim is to assess the company’s efficiency in managing spare parts, accessories, machinery components, and refurbished machines, identify areas of inefficiency, and recommend datadriven strategies for improvement. The research adopts a descriptive and analytical design, relying entirely on secondary data derived from the company’s ERP system, financial reports, and industry benchmarks. Analytical tools such as ABC classification, inventory turnover ratio, cost structure analysis, and obsolescence review were applied to evaluate performance. The findings revealed a strong value concentration where 15% of SKUs represented 76% of total inventory value, highlighting overstocking and weak differentiation in control mechanisms. The study also identified ₹6.95 lakhs worth of obsolete stock and excessive holding costs of 8% of total inventory value. Through systematic analysis and referencing of five recent 2025 studies, this paper integrates modern perspectives such as multi-criteria ABC analysis, digital automation, and working capital optimization. The study concludes that implementing differentiated control policies, supplier performance tracking, and ERP-based
real-time monitoring tools will enable Texcoms Worldwide to reduce working capital blockage by ₹25–30 lakhs and improve overall financial efficiency. The results provide valuable insights for managers and researchers aiming to align inventory decisions with cost, sustainability, and technological readiness in the modern supply chain

Keywords:

Inventory Management, ABC Analysis, Working Capital Optimization, Inventory Turnover, Cost Control, Obsolescence Management, Supply Chain Efficiency, Texcoms Worldwide, ERP Systems, Analytical Research