Implementation of Continuous Review System Method, Periodic Review System Method and Min-Max Method for Cheese Powder Inventory (Case Study: PT. Mayora IndahTBK)

International Journal of Industrial Engineering
© 2020 by SSRG - IJIE Journal
Volume 7 Issue 2
Year of Publication : 2020
Authors : Muhammad Kholil, Jakfat Haekal, Indra Almahdi, Prof Sualiman Bin Hj. Hasan
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How to Cite?

Muhammad Kholil, Jakfat Haekal, Indra Almahdi, Prof Sualiman Bin Hj. Hasan, "Implementation of Continuous Review System Method, Periodic Review System Method and Min-Max Method for Cheese Powder Inventory (Case Study: PT. Mayora IndahTBK)," SSRG International Journal of Industrial Engineering, vol. 7,  no. 2, pp. 17-22, 2020. Crossref, https://doi.org/10.14445/23499362/IJIE-V7I2P104

Abstract:

PT. Mayora Indah, Tbk is a company engaged in manufacturing food and beverage production. This company is located on Jalan Daan Mogot Km. 18 Jakarta-Indonesia. The large demand made PT. Mayora Indah, Tbk requires good inventory control planning. The cheese powder material is an important material for the continuity of the production process of making cheese wafers. Cheese powder in the form of powder/powder used as raw
material to produce cheese wafer products.
The problem that often occurs in this company is the discrepancy between the level of purchase of cheese powder material with the level of use being carried out. This excess material will result in a large total inventory cost to be incurred by the company. This will lead to high inventory on hand which will lead to suboptimal storage costs and leads to high message costs. Following is the cheese powder material data. Therefore, as a developing company, we need control of raw materials that can ensure the continuity of the production process. By seeing the importance of controlling raw materials in the production process, through this research it is expected to be able to control the supply of raw materials as needed by considering the lead time. Based on the results of data processing that have been done Method Q produces a total inventory cost of Rp. 478,552,240, - with an efficiency of 82%, Method P produces a total inventory cost of Rp. 616,338,720, - with an efficiency of 77% and the Min-Max Method produces
a total inventory cost of Rp. 586,650,000, - with an efficiency of 78% the comparison with the minimum total cost criteria, the Q Method is obtained as the method that produces the most optimal level of inventory with the smallest total cost of Rp. 478,552,240, - with an efficiency of 82% of the total
inventory costs incurred by the company.

Keywords:

Class Based Storage Method, New Storage Layout, Displacement, Delivering Goods

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