scholarly journals DETERMINATION OF SUPPLIER AND ORDER QUANTITY OF RAW MATERIAL USING AHP METHOD AND LINEAR PROGRAMMING

2019 ◽  
Vol 3 ◽  
pp. 63-68
Author(s):  
M Fakhruddin Alfaris M Fakhruddin Alfaris ◽  
M Qurtubi

Companies must choose suppliers properly, because the selection of the right supplier can reduce raw material costs and increase the competitiveness of the company, while improper supplier selection can cause financial and operating problems. The purpose of this study is to determine the optimal supplier and order quantity of raw materials. As for the object of the research is a multipurpose technology machinery company. Data collection methods used in this study were observation, interviews, and questionnaires. Supplier data is processed using the AHP method to determine the right supplier, while the linear programming method is used to determine the order quantity of the raw material. Based on the calculation, the DS supplier gets a weight of 0.65 and the LG supplier gets a weight of 0.35. The optimal order quantity from each supplier is 7.5 tons for DS and 7.5 tons suppliers for LG suppliers. From the results of the optimization, the cost reduction figure is Rp. 3,750,000 or 3% of the total cost of purchase.

JOURNAL ASRO ◽  
2018 ◽  
Vol 9 (1) ◽  
pp. 98
Author(s):  
Ika Deefi Anna ◽  
Putri Rani Fhiliantie

ABSTRACT The production activities of a company are influenced by sufficient availability of raw materials. The availability of raw materials will be fulfilled if the supplier regularly sends raw materials in accordance with the planned delivery time. However, each supplier has different capabilities in terms of supply capacity, price, product quality, and delivery time. Determining the right supplier will help the company maintain its production process. This study aims to identify which suppliers are selected to fulfill the demand for each production period and determine allocation of raw material orders to each selected supplier. The model developed to determine selected suppliers have been an integer linear programming. The model has the objective function of minimizing the total cost which consists of purchasing, ordering and holding costs. The constraints include supplier capacity, order quantity allocation, demand, inventory balance, safety stock, timely delivery, non negative and binary. Calculation results in giving a numerical example shows that the developed model is able to select suppliers per period. The model is also able to determine the allocation of raw material orders to selected suppliers. Sensitivity analysis is done to find out which parameters are sensitive. The results of the sensitivity analysis indicate that the parameters of supplier capacity and demand are sensitive parameters.  Keywords: Supplier selection, order quantity allocation, integer linear programming


2017 ◽  
Vol 12 (2) ◽  
Author(s):  
Monika Handayani ◽  
Eka Kusuma Dewi

<p>CV. Baja Utama Landasan Ulin is a business entity that manufactures various products using the basic ingredients of iron. In the management of raw materials for the production of common regulatory process raw materials into sections for further processing. This setting is often done manually without doing careful planning, so that at the end of each production process there are many remaining pieces of the raw materials that should be used in production. In addition to the determination of the production is necessary to reference how the product should be made for each type of existing products. This is often an important factor that pushed for the optimization of production planning in determining the number of products for each type of product and raw material consumption.Linear Programming is one of the methods used in production planning to regulate the use of raw materials is limited. Simplex method is part of the linear programming method that can be used in the production planning system implementation. Simplex method identifies an initial basic solution and then move systematically to other basic solution that has the potential to improve the value of the objective function.The calculation result of production planning using the simplex method can be used as a reference in the decision making production planning. By building an application using the simplex method can assist in the calculation of production peencanaan more efficiently and effectively. Accuracy testing system constructed show significant results with great value reached 94% level of accuracy.<br />Keywords: simplex, production planning, the maximum gain, linear programming</p>


Author(s):  
ARIEF SETIAWAN ROSO ◽  
I KETUT SUAMBA ◽  
NI WAYAN PUTU ARTINI

The Added Value of Processed Red Ginger Product at UD. VisionBali Herbal Indonesia, DenpasarThis research aimed to determine the added value of red ginger as an herbal drink in one production process and to determine the level of profits earned by the company in the red ginger processing in one production process. Determination of the study area was done purposively and the analytical methods used was the method of added value calculation, i.e. the product value is deducted by the value of raw materials and other supporting materials.It can be concluded from the result of the research that the added value of the red ginger processing business obtained in one production process is Rp. 84.600,00/kg. The added value is obtained from the deduction of the value of the product/output of Rp. 175.000,00/kg with the cost of raw material (input prices) Rp. 25.000,00/kg and the contribution of the cost of other inputs of Rp. 65.400,00/kg. It was also found that the profits gained by the manufacturer from the processed red ginger into herbal drink in one production process was Rp. 200.954,06. The suggestion that can be given to the company is to put more attention in the details of its production costs so as not to result in a low ratio of added value and further to improve the marketing of the products, so that people are interested in re-use of herbal medicine that is free of chemical components.


2019 ◽  
Vol 2 (1) ◽  
pp. 23
Author(s):  
Dwi Dayanti Oktavia ◽  
Peni Indarwati ◽  
Marhaerni Fikky Febriananta

A company should maintain an adequate or optimal level of inventory so that production operations can run smoothly and efficiently. What needs to be considered in this case is that the required raw materials are always available, so as to guarantee the smooth production process. However, the amount of inventory should not be too much because this will harm the company. Too much inventory will increase maintenance costs and storage costs in the warehouse. In addition, the amount of inventory that is too much can also increase the likelihood of losses due to damage and loss of quality that can reduce company profits. And vice versa, the amount of inventory that is too small will hamper the production process so that the company will suffer a lot of losses including: the machine does not work as it should, many workers are unemployed, and can even result in the cessation of the production process. This study aims to determine how the calculation of raw materials, what is the total cost of raw material inventory if the company establishes an EOQ (Economic Order Quantity) policy, what is the limit or point of ordering raw materials needed by the company during the grace period at PT.Bentoel International Investama in Malang.The population used is the supply of tobacco raw materials at PT. Bentoel International Investama, where this research was conducted by interview and documentation. The variable in this study is the supply of raw materials. The analysis used is the EOQ (Economic Order Quantity) method.The results of the study, if using the EOQ method in 2017 the cost savings of Rp 40,290,256,931, while in 2018 the cost savings of Rp. 44,388,428,549. Thus there is a difference between inventory policies carried out according to the company with EOQ calculations. It can be concluded that the supply of raw materials every year has increased raw materials, the frequency of purchasing raw materials when using raw materials when using the EOQ method is 2 times in one period, the limit for ordering raw materials needed by companies when using the 2017 EOQ method is 218,176.7 kg, while in 2018 it will be 210,853 kg. The total cost of raw material inventory calculated according to EOQ is less than that spent by the company, so there is a cost savings of raw material inventory


2018 ◽  
Vol 13 (02) ◽  
Author(s):  
Melinda Miranda Wijaya ◽  
David P. E. Saerang ◽  
Meily Y. B. Kalalo

            The cost of raw material inventory is a sacrifice of economic resources, measured in units of money, which have occurred or are likely to occur for raw material inventory, consisting of purchase costs, storage costs, and inventory shortage. This study aims to determine (1) Total Inventory Cost (TIC) based on RM policy. Kinamang Fuel Fish and Economic Order Quantity (EOQ) method during 2017 (2) Frequency of ordering of efficient fish raw material during 2017 (3) Quantity of safety stock and when to reorder point of raw materials fish in RM. Ikan Bakar Kinamang during 2017. This research is a descriptive research with qualitative approach. And use case study method. The result of the research shows that the Cost of Fish Raw Material Supplies at Kinamang Fuel Fish Restaurant is still not economical because the purchase (order) is only based on the previous sales estimate, and does not take into account economically the expenses incurred for the purchase and storage of fish raw materials the. Precisely with the calculation of Economic Order Quantity (EOQ), the cost of raw materials inventory of fish is much less, and can determine properly and correctly about the safety stock (safety stock), and reorder (reorder point).Keywords: Inventory Cost, EOQ, Frequency, Safety Stock, ROP


2021 ◽  
Vol 5 (1) ◽  
pp. 33
Author(s):  
Aries Adiyanto ◽  
Dene Herwanto

PT. Tri Jaya Teknik Karawang is an engineering company engaged in fabrication, machining and side parts. PT. Tri Jaya Teknik started pioneering a business since 2007 and started owning and occupying its own workshop in 2009. Currently the company already has 2 plant workshops with a total area of 3,080 m2 and has about 100 employees. One of the products produced is Fuji seat, based on the data collected there are 3 parts of the process. The 3 parts of the process are repair 1, repair 2, repair 3. With each there is a check parts & packing table. The method used in companies to manage raw material inventories is still conventional, namely by making continuous purchases without estimating according to needs. So that there is often an excess of raw materials or a shortage of raw materials at a certain time, this makes the costs incurred inefficient and often disrupts the production process. A review of the inventory capacity of Fuji Seat products in this study was carried out using the Economic Order Quantity (EOQ) model. The main raw material inventory data used is Fuji Seat in the 2016-2019 period. Holding cost raw materials is set by PT. Tri Jaya Teknik Karawang is 2.5% of the price per pcs, this value is used for procurement and repair of tools and equipment in the warehouse. If there is no damage, the cost is allocated to the warehouse manager in that month. Meanwhile, the cost of ordering which consists of the price of goods and shipping costs is determined by PT. Tri Jaya Teknik Karawang, amounting to IDR 100,000.00. This fee includes administration and transportation costs. Administrative costs, namely executive salaries and other supporters, as well as taxes related to the company. The cost of shipping transport is the distance traveled and the weight of the product ordered. Based on the calculation of EOQ (Economic Order Quantity), the most economical amount of raw materials using the EOQ model is 6,815.5 Pcs with 187 purchases a year. PT. Tri Jaya Teknik Karawang adalah perusahaan engineering yang bergerak di bidang fabrikasi, machining dan part samping. PT. Tri Jaya Teknik mulai merintis bisnis sejak tahun 2007 dan mulai memiliki dan menempati workshop sendiri di tahun 2009. Saat ini perusahaan telah memiliki 2 plant workshop dengan total luas 3.080 m2 dan memiliki karyawan berjumlah sekitar 100 orang. Salah satu produk yang dihasilkan adalah fuji seat, berdasarkan data yang dikumpulkan ada 3 bagian proses. 3 bagian proses itu adalah repair 1, repair 2, repair 3. Dengan masing-masing terdapat meja check part & packing. Metode yang digunakan pada perusahaan untuk mengelola persediaan bahan baku masih secara konvensional, yaitu dengan melakukan pembelian terus menerus tanpa memperkirakan sesuai dengan kebutuhan. Sehingga seringkali terjadi kelebihan bahan baku atau kekurangan bahan baku di saat tertentu, hal ini membuat biaya yang dikeluarkan menjadi tidak efisien dan sering kali mengganggu proses produksi. Tujuan penelitian ini yaitu mampu mengetahui perhitungan EOQ dan frekuensi pembelian yang paling ekonomis dalam perusahaan. Tinjauan kapasitas persediaan produk Fuji Seat dalam penelitian ini dilakukan dengan menggunakan model Economic Order Quantity (EOQ). Data persediaan bahan baku utama yang digunakan adalah Fuji Seat pada periode 2016-2019.Biaya penyimpanan bahan baku di tetapkan oleh pihak PT. Tri Jaya Teknik Karawang sebesar 2,5% dari harga per pcs, nilai tersebut digunakan untuk keperluan pengadaan dan perbaikan 


2020 ◽  
Vol 13 (1) ◽  
pp. 1-9
Author(s):  
Sri Wahyuning Wahyuning ◽  
Nofi Khayati

Accounting Information System is a system that provides an information technology-based accounting process. Determination of the cost of production in a company requires the right method, because the cost of production is one of the factors that can influence the determination of the selling price. The cost of production is also used to determine the magnitude of the profits obtained by the company.Manufacturing company which is a company engaged in the process of raw materials into finished goods, requires basic materials that are used as the main ingredients in the production process.This study aims to determine how the application of the Job Order Costing method is a method of collecting production costs to determine the cost of production at the company on the basis of orders. The method used in this study uses a research and development (R&D) model, which is the method used to produce certain products, and test the effectiveness of the product. In this study using the PHP programming language and MySQL for the database


Author(s):  
Diógenes Quéops De Jesus Guimarães Suzuki ◽  
David Barbosa de Alencar ◽  
Alexandra Priscilla Tregue Costa ◽  
Manoel Henrique Reis Nascimento

The present work tends to investigate the lean production through the materials needed for the manufacture of perfumery products (cologne, deo cologne, eau de toilette), reduce its costs significantly, by proposing coherent substitutions to those used regularly, bringing improvements and productivity with the help of Kaizen tools. According to this comparison between inputs and their possible substitutes, all their processing and production are decisive for a more viable option according to the research theme and the viability of lean production in the most varied types of products, in the field of perfumery. In the differences between the given raw materials and the cost benefit, it is possible to promote higher productivity, without changing the performance of the products, even if there is a slight oscillation, but fulfilling the right role to the consumer, enhancing the ecological awareness and generating greater profitability.


2020 ◽  
Vol 8 (1) ◽  
pp. 31-37
Author(s):  
Ida Ayu Made ◽  
Wagini Wagini

Ida Ayu Made, Wagini; This study aims to determine the inventory of raw materials in the production process to support the Martabak Alim Bengkulu City. The analytical method used was the determination of the purchase of the economy ( Economic Order Quantity ) , Inventory Safety ( Safety Stock ) , and the determination of the reorder point ( Re - Order Point . The survey results revealed that the purchase of raw materials on Martabak Alim Bengkulu City during the year 2017 with the EOQ method is 433 kg of wheat flour special for Martabak in one booking with frequency ordering as many as 4 times and intervals of 78 working days . The assessment of safety stock ( safety stock ) against wheat flour made in Martabak Alim Bengkulu City in the amount of 15 kg . appraisal ordering time again ( Re -order point) wheat flour in Martabak Alim Bengkulu City in the amount of 27 Kg . This is so that the arrival of raw materials to be booked to coincide with the current live inventory for safety stock ( safety stock ) Key Words: Analysis, Raw Material Inventory, Martabak Alim


2020 ◽  
Vol 2 (1) ◽  
pp. 22
Author(s):  
Sandi Wardani ◽  
Sri Rahayuningsih ◽  
Ana Komari

This study aims to analyze the availability of raw materials at PT. Akasha Wira Internasional Tbk, analyzes the total cost of raw material inventories, analyzes to reorder point raw materials, analyzes the amount of safety stock of raw materials, analyzes raw material inventory control. The analytical method used is the Economic Order Quantity method, which is to find out the optimal order or purchase quantity with the aim of minimizing inventory costs consisting of ordering costs and storage costs. The results showed that the purchase of optimal ades 1500 ML label raw materials according to the Economic Order Quantity method during the 2017 period for each message was greater than what the company did. The optimal purchase of raw materials that must be done by the company in 2017 is 397 m with the frequency of ordering that must be done as much as 2 times. The safety stock quantity that must be available in the warehouse is 480.15 m and the Re Order Point according to the Economic Order Quantity is at the time of the inventory in the warehouse is 512.91 m. The total inventory cost for the production process incurred according to the Economic Order Quantity method is smaller than the total inventory cost incurred by the company. Keywords: Inventory, Raw Materials, Economic Order Quantity  Penelitian ini bertujuan untuk menganalisis ketersediaan bahan baku di PT. Akasha Wira Internasional Tbk, menganalisis total biaya persediaan bahan baku, menganalisis untuk melakukan pemesanan kembali (reorder point) bahan baku, menganalisis jumlah persediaan pengamanan barang  (safety stock) bahan baku, menganalisis pengendalian persediaan bahan baku. Penggunaan pendekatan yaitu metode Economic Order Quantity sebagai cara menyimpan bahan baku untuk ketersediaan biaya pesan dan biaya simpan bahan baku. Data yang diperoleh adalah data primer dan data sekunder. Pada bahan baku  ades 1500 ML tahun 2017 memiliki tingkat pemesanan yang lebih tinggi. Pembelian bahan baku optimal yang harus dilakukan perusahaan pada tahun 2017 adalah sebesar 397 m dengan frekuensi pemesanan yang harus dilakukan adalah sebanyak 2 kali. Kuantitas persediaan pengaman yang harus tersedia digudang adalah sebesar 480,15 m dan titik pemesanan kembali menurut Economic Order Quantity yaitu saat persediaan digudang tinggal 512,91 m. Maka dalam proses produksi menurut EOQ lebih kecil diabnding dengan total pembiayaan dari perusahaan.  Kata Kunci :  Persediaan , Bahan Baku, Economic Order Quantity


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