The main objective of the study was to examine the impact of inventory management on performance of manufacturing industries in Uganda using BIDCO Company as the case study. As recommended by other scholars, the literature was compiled from various journals, Google magazines, and books. A convenience sampling method was used to select a sample of 35 respondents for the study that had a cross-sectional survey research design. The company staff members completed self-administered questionnaires that served as the investigation's data collection tools and instruments. The STATA and SPSS software packages were utilized in the study's analysis of the field data. A dummy variable model also aided in analyzing data. The findings showed that most of the employees in BIDCO Company limited were male, between the age brackets of 30-35 years old. Since they regarded as more productive. The findings also indicated that BIDCO Company maintains reasonable stock levels required by the organization to prevent over and under stocking, and they use various techniques like lead time, and Inventory Turnover ratio inventory management system. The findings further showed that frequent performance appraisal of the employees also strongly contributed to BIDCO Company's good performance. The study concluded that there was a proportionate relationship between inventory management and performance of BIDCO Company limited. BIDCO Company should also involve employees in decision making especially in their respective fields for example in the stores Department.