Inventory Management Analysis of Fast-Moving Consumer Goods at Stock Point: Case Study in a Distribution Company

Made, Gilang Sedayu Bagaskara (2019) Inventory Management Analysis of Fast-Moving Consumer Goods at Stock Point: Case Study in a Distribution Company. Other thesis, Institut Teknologi Sepuluh Nopember.

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Abstract

PT. X established as product distributor that connect factory as a producer, with retailer as the consumer with all Indonesia coverage. Product that distributed by PT. X categorized as FMCG product. Therefore, high service level is critical for product distribution of PT. X. Service level is measured by the product order quantity fulfilled for each order. In order to have closer distance to their customer, PT. X placed stock points all around Indonesia, to also help the company increase their service level. However, the performance of stock points, especially on service level is under the company target. This mainly caused by high number of stockout on the stock point. Current system control provides lower total cost, but low service level that has not achieved the target. Therefore, we build an improvement method by using continuous review (s, S) to increase the service level while maintaining low total cost. ABC analysis used to choose stock points and product as samples, with service level and net sales contribution as the factors of analysis. Lead time of the product based on the delivery frequency of each stock point and the demand used is probabilistic. There are 4 output to be compared, which are unused inventory, stockout, total cost, and service level. Service level target will be adjusted as the scenario of this research, and demand will be adjusted as the sensitivity test of this research. As the result, improvement method is applicable for A and B class product. There are 3 products that fail to achieve company target on sensitivity analysis, and changes on service level target does not have high impact on actual service level changes.

Item Type: Thesis (Other)
Uncontrolled Keywords: Continuous Review (s, S), Inventory Management, Monte Carlo, Service Level
Subjects: T Technology > T Technology (General) > T57.62 Simulation
Divisions: Faculty of Industrial Technology > Industrial Engineering > 26201-(S1) Undergraduate Thesis
Depositing User: Mr. Gilang Sedayu Bagaskara Made
Date Deposited: 23 Sep 2024 01:45
Last Modified: 23 Sep 2024 01:45
URI: http://repository.its.ac.id/id/eprint/64810

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