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Paper ID:IJSREM65381

A Study on the Role of Technology in Inventory Management and Cost Control in the FMCG Sector with Special Reference to Hindustan Unilever Limited”

Stream/Area:

-

Subject:

-

Paper ID:

IJSREM65381

Volume:

10 |

6 |

Jun 2026

Pages:

1-8

Publication Frequency:

Monthly (12 issues per year)

DOI
Digital Object Identifier
10.55041/IJSREM65381

License:International Journal of Scientific Research in Engineering and Management follows the Creative Commons Attribution 4.0 (CC BY 4.0) License, allowing free use and distribution with proper attribution.

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Authors

MPR

M. Prasad Rao

Master of Business Administration

CMR Institute of Technology, Medchal. India

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SD

S. Daniel

Master of Business Administration

CMR Institute of Technology, Medchal. India

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Abstract

This study examines the role of technology in inventory management and cost control in the Fast-Moving Consumer Goods (FMCG) sector, with special reference to Hindustan Unilever Limited. Effective inventory management is essential for FMCG companies due to high product turnover, changing consumer demand, and intense market competition. The study focuses on how technological tools and systems help improve inventory control, reduce operational costs, and enhance overall organizational efficiency. The research is based on secondary data collected from annual reports, company publications, journals, websites, and other relevant sources. The study analyzes various technologies used by Hindustan Unilever Limited, such as Enterprise Resource Planning (ERP) systems, demand forecasting tools, data analytics, automation, and supply chain management software. These technologies enable the company to maintain optimal inventory levels, minimize stock-outs and excess inventory, improve demand forecasting accuracy, and reduce storage and distribution costs. The findings reveal that the adoption of technology has significantly improved inventory visibility, operational efficiency, and cost management within the organization. Technology-driven inventory systems have also enhanced decision-making processes and strengthened supply chain performance. The study concludes that technological advancements play a crucial role in achieving effective inventory management and cost control in the FMCG sector. It recommends continuous investment in emerging technologies and digital transformation initiatives to maintain competitiveness and support sustainable business growth. .

KEYWORDS

Inventory Management Cost Control Technology FMCG Sector Hindustan Unilever Limited Supply Chain Management ERP Data Analytics Automation

Cite This Article

M. Prasad Rao, S. Daniel, "A Study on the Role of Technology in Inventory Management and Cost Control in the FMCG Sector with Special Reference to Hindustan Unilever Limited”," International Journal of Scientific Research in Engineering and Management, vol. 10, no. 6, pp. 1-8, Jun 2026. https://doi.org/10.55041/IJSREM65381

Full Article/Conclusion

This study, titled “A Study on the Role of Technology in Inventory Management and Cost Control in the FMCG Sector with Special Reference to Hindustan Unilever Limited,” concludes that technology plays a vital role in improving inventory efficiency, operational performance, and cost control in the FMCG industry. Hindustan Unilever Limited has successfully adopted advanced technologies such as ERP systems, Artificial Intelligence (AI), IoT, cloud computing, and digital warehousing to optimize inventory levels, improve demand forecasting, and reduce wastage. The analysis of data from 2020 to 2025 shows that effective inventory management contributed to higher profitability, better working capital utilization, and improved overall business performance. Automation and digital integration strengthened coordination among suppliers, warehouses, distributors, and retailers, resulting in a more efficient supply chain and enhanced customer satisfaction. Furthermore, technology reduced manual errors, improved inventory turnover, and supported faster decision-making. The study concludes that continuous investment in digital technologies is essential for achieving operational excellence, profitability, competitiveness, and sustainable growth in the FMCG sector.

References

1.Alphonse, A., & Chilakala, S. S. L. (2024). A study on the working capital management of Hindustan Unilever Limited. International Journal of Research in Business Studies, 11(1), 45-56.   2.Gupta, R., & Sharma, M. (2014). Cost management practices in Indian manufacturing firms: An empirical analysis. Indian Journal of Commerce & Management Studies, 5(2), 78-85.   3.Kathiresan, S. A. (2020). A study of finished goods inventory management of FMCG sector in South India (Master's thesis, National College of Ireland).   4.Mishra, S., & Patel, K. (2025). Inventory management in the FMCG sector warehouse: A study on operational efficiency and customer satisfaction. International Journal of Scientific Research in Engineering and Management, 9(6), 1-9.   5. Narayanan, V. (2020). Strategic cost control and supply chain optimization in the Indian FMCG sector: A case study of HUL. Journal of Financial Management and Analysis, 33(2), 112-125.   6.Saha, P. (2025). Comparative analysis of working capital management: A study of HUL and ITC in the FMCG sector. International Journal of Emerging Technologies and Innovative Research, 12(3), j6-j15.   7.Sharma, A., & Verma, P. (2024). Inventory management strategies in the Indian FMCG sector: A case study of Hindustan Unilever Limited. South Asian Journal of Operations Management, 5(1), 14-29. 8.Singh, T., & Kaur, R. (2025). A study on inventory management and its impact on profitability at Hindustan Unilever Limited. International Journal of Scientific Research and Engineering Development, 8(6), 740-752.   9. Srivastava, S. (2024). A study on supply chain challenges for the Indian FMCG sector: Overcoming infrastructure and logistical barriers. Journal of Operations and Supply Chain Management, 17(3), 202-215.   10 Yadav, N., & Kumar, S. (2025). Comparative study on inventory management practices between HUL and ITC. International Journal of Research Publication and Reviews, 6(5), 1102-1115.  

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Publication Date

6/23/2026

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