Analysis of Inventory Control by Using Economic Order Quantity Model – A Case Study in PT Semen Padang

Inventory control is a very important issue. It is because the amount of inventory will determine or affect the smoothness of the production process as well as the effectiveness and efficiency of the company. PT Semen Padang is a manufacturing company that produces 10,400,000 tons of cement per yea...

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Main Authors: Prima Fithri, Alizar Hasan, Fadhita Maisa Asri
Format: Article
Language:English
Published: Universitas Andalas 2019-10-01
Series:Jurnal Optimasi Sistem Industri
Subjects:
Online Access:https://josi.ft.unand.ac.id/index.php/josi/article/view/162
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author Prima Fithri
Alizar Hasan
Fadhita Maisa Asri
author_facet Prima Fithri
Alizar Hasan
Fadhita Maisa Asri
author_sort Prima Fithri
collection DOAJ
description Inventory control is a very important issue. It is because the amount of inventory will determine or affect the smoothness of the production process as well as the effectiveness and efficiency of the company. PT Semen Padang is a manufacturing company that produces 10,400,000 tons of cement per year. The achievement of the cement production target at this company depends on the availability of raw materials needed in the cement production process itself. Gypsum is an additional material of the cement production process which is very important because it is a raw material that must exist in the process of making cement. So, if the inventory of gypsum cannot meet the needs of production, then the production process of cement making will be disrupted. PT Semen Padang is using the Min-Max method for inventory control. But the costs are quite high. The cost of inventory can be minimized by using another method such as EOQ (Economic Order Quantity). The conclusions of this research are in 2016 by using EOQ method, the optimal order quantity is 32,073 ton per order, and the frequency is 9 times in a year with total cost Rp. 4,757,673,813.48, and in 2017, the optimal order quantity is 34,856 tons per order and the frequency is 9 times in a year with total cost Rp. 9,694,805,608.36.
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spelling doaj-art-fb8d8c4349764b228fb72ccaaabeafa02025-08-20T02:47:38ZengUniversitas AndalasJurnal Optimasi Sistem Industri2088-48422442-87952019-10-0118210.25077/josi.v18.n2.p116-124.2019Analysis of Inventory Control by Using Economic Order Quantity Model – A Case Study in PT Semen PadangPrima Fithri0Alizar Hasan1Fadhita Maisa Asri2Universitas AndalasUniversitas AndalasUniversitas Andalas Inventory control is a very important issue. It is because the amount of inventory will determine or affect the smoothness of the production process as well as the effectiveness and efficiency of the company. PT Semen Padang is a manufacturing company that produces 10,400,000 tons of cement per year. The achievement of the cement production target at this company depends on the availability of raw materials needed in the cement production process itself. Gypsum is an additional material of the cement production process which is very important because it is a raw material that must exist in the process of making cement. So, if the inventory of gypsum cannot meet the needs of production, then the production process of cement making will be disrupted. PT Semen Padang is using the Min-Max method for inventory control. But the costs are quite high. The cost of inventory can be minimized by using another method such as EOQ (Economic Order Quantity). The conclusions of this research are in 2016 by using EOQ method, the optimal order quantity is 32,073 ton per order, and the frequency is 9 times in a year with total cost Rp. 4,757,673,813.48, and in 2017, the optimal order quantity is 34,856 tons per order and the frequency is 9 times in a year with total cost Rp. 9,694,805,608.36. https://josi.ft.unand.ac.id/index.php/josi/article/view/162PT Semen Padanginventory controlEOQcementBulk Material Gypsum
spellingShingle Prima Fithri
Alizar Hasan
Fadhita Maisa Asri
Analysis of Inventory Control by Using Economic Order Quantity Model – A Case Study in PT Semen Padang
Jurnal Optimasi Sistem Industri
PT Semen Padang
inventory control
EOQ
cement
Bulk Material Gypsum
title Analysis of Inventory Control by Using Economic Order Quantity Model – A Case Study in PT Semen Padang
title_full Analysis of Inventory Control by Using Economic Order Quantity Model – A Case Study in PT Semen Padang
title_fullStr Analysis of Inventory Control by Using Economic Order Quantity Model – A Case Study in PT Semen Padang
title_full_unstemmed Analysis of Inventory Control by Using Economic Order Quantity Model – A Case Study in PT Semen Padang
title_short Analysis of Inventory Control by Using Economic Order Quantity Model – A Case Study in PT Semen Padang
title_sort analysis of inventory control by using economic order quantity model a case study in pt semen padang
topic PT Semen Padang
inventory control
EOQ
cement
Bulk Material Gypsum
url https://josi.ft.unand.ac.id/index.php/josi/article/view/162
work_keys_str_mv AT primafithri analysisofinventorycontrolbyusingeconomicorderquantitymodelacasestudyinptsemenpadang
AT alizarhasan analysisofinventorycontrolbyusingeconomicorderquantitymodelacasestudyinptsemenpadang
AT fadhitamaisaasri analysisofinventorycontrolbyusingeconomicorderquantitymodelacasestudyinptsemenpadang