Authors :
Muhammad Hamzah Makarim; Antonius Setyadi
Volume/Issue :
Volume 8 - 2023, Issue 11 - November
Google Scholar :
https://tinyurl.com/2z5eu7md
Scribd :
https://tinyurl.com/5rxxbbw4
DOI :
https://doi.org/10.5281/zenodo.10297300
Abstract :
Tight competition encourages every company
to increase its competitiveness by making efficiency in all
fields, one of which is by controlling inventory in the
company by optimizing warehousing costs, availability of
raw materials and products. At the same time by
avoiding interruptions in the production flow. As one of
the companies that produces car engines, the company
optimizes inventory to meet consumer demand and avoid
production stops. The problem that occurs in this
company is that only 20% of the components have the
amount of stock that is in accordance with the
company's planning. Based on these problems, there is a
need for proper classification of component and
inventory policy to minimize the occurrence of excess
stock experienced by the company. In this study,
component classification is using ABC and XYZ analysis.
In addition, the company needs to determine its stock
level, reorder components using the Reorder Point
(ROP) method, and optimize the number of orders
ordered for each part with Economic Order Quantity
(EOQ). The results of this study obtained a grouping of
components for classes A = 15 components, B = 18
components and C = 78 components and X = 86
components, Y = 8 components and Z = 17 components.
By improving the ROP and EOQ values, the company
can optimize inventory by reducing the amount of
inventory by 9.1 billion.
Keywords :
Inventory, ABC analysis, XYZ analysis, Reorder point (ROP), Economic Order (EOQ).
Tight competition encourages every company
to increase its competitiveness by making efficiency in all
fields, one of which is by controlling inventory in the
company by optimizing warehousing costs, availability of
raw materials and products. At the same time by
avoiding interruptions in the production flow. As one of
the companies that produces car engines, the company
optimizes inventory to meet consumer demand and avoid
production stops. The problem that occurs in this
company is that only 20% of the components have the
amount of stock that is in accordance with the
company's planning. Based on these problems, there is a
need for proper classification of component and
inventory policy to minimize the occurrence of excess
stock experienced by the company. In this study,
component classification is using ABC and XYZ analysis.
In addition, the company needs to determine its stock
level, reorder components using the Reorder Point
(ROP) method, and optimize the number of orders
ordered for each part with Economic Order Quantity
(EOQ). The results of this study obtained a grouping of
components for classes A = 15 components, B = 18
components and C = 78 components and X = 86
components, Y = 8 components and Z = 17 components.
By improving the ROP and EOQ values, the company
can optimize inventory by reducing the amount of
inventory by 9.1 billion.
Keywords :
Inventory, ABC analysis, XYZ analysis, Reorder point (ROP), Economic Order (EOQ).
