Optimization of Fertilizer Inventory with ABC Analysis and Periodic Review on PT. Dawn Still Great
Year: 2024
Type: article
Abstract: Life Inventory control is a method that aims to optimise inventory costs in a company. Inventory control has a very important role in the operational process of a company. Excessive inventory in a company will incur greater costs because the costs incurred for maintenance or inventory storage will increase. Conversely, if the inventory is not fulfilled properly or experiences a shortage, the company's operational processes will be disrupted because the stock has run out. Inventory control plays an important role in this case. In this study, inventory control calculations were carried out at the Setia Budi gas station for pertalite, Pertamax 92, Pertamax turbo and dexlite fuels using the Economic Order Quantity (EOQ) method. In accordance with the objectives of the EOQ method, this study aims to determine the most optimal inventory costs at the Setia Budi gas station in Medan. Based on the research conducted by first carrying out the Lilliefors test to test the normality of the data, the most optimal fuel oil order frequency was obtained for Pertalite 32 times, Pertamax 92 28 times, Pertamax Turbo 16 times and Dexlite 11 times. The company's total inventory cost (TIC) is Rp. 181,185,322.- and the total inventory cost (TIC) using the EOQ method is Rp. 172,827,000 By using the EOQ method at the Setia Budi Medan gas station, you can save Rp. 8,358,322.-.
Language: English
Subfield: Management Information Systems
Domain: Social Sciences
Open Access status: hybrid
OpenAlex ID: W4412454931