The significance of stock management to jet fuel supply using partial least squares
Operational and commercial efficiency at a jet fuel depot are vital indices for a jet fuel marketer toward ensuring maximum business productivity. In Nigeria, jet A-1 aviation fuel scarcity is a yearly challenge that periodically triggers jet fuel price increase, air fare price hike and flight cancellation. The causes of the scarcity have been ascribed to the challenges facing jet fuel supply process. In this study, the significance of each of the seven jet fuel depots of a fuel marketer to the overall business performance is analysed using structural equation modelling to evaluate the historical sales and stock data. Historical stock data contain hidden patterns and knowledge that can be acquired and applied in operational decision making processes. The effect of each depot on business performance is classified using the significance and path coefficient result obtained from the partial least squares model implemented on historical stock data.
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