PROPOSED SOLUTION FOR THE RAW MATERIALS WASTE AT ADVERB

• Main Author: Fattaah Muhammad Syah F, Al
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/45630
• Institution: Institut Teknologi Bandung

Assorted Drinks of Vegan and Herbal (ADVERB) is a brand of fruits and vegetable drink that sells Cold-Pressed Juice products and other fruit drinks. As a new business entity, Adverb often experiences fluctuating demand, which is due to the unpredictability of consumer favourite beverage menus, so that there is often a shortage of raw materials desired by consumers and overstock of unsold raw materials. Therefore, there needs to be an improvement in inventory management in order to reduce raw materials waste. This research is using qualitatve methods to provide a detail description about the company’s situation and problems. The qualitative approach in this study was carried out by observing company’s activities and conduct an interviews to the company’s stakeholders. Then, the analysis technique in this research is using the descriptive qualitative technique. Moreover, the data obtained from observations and interviews will be used to find out the root cause of the problem. The Fishbone diagram method is used to find out the root causes of this problem and is strengthened by interviewing with Adverb stakeholders. There are three root causes of this problem, i.e., Unclear job description due to controlling and reporting raw materials cycle, New sales channel at GoFood platform, and Customer behaviour changing that increases uncertainties of demand. There are five proposed solutions of this problem, i.e., a) Assigning controlling activities to Employee, b) Finding out the customer's favourite menu, c) Create new marketing strategy for the most favourite product, d) Limit the variety of products sold on GoFood, and e) Determine Safety stock for products sold on GoFood. The survey will be conducted to complete this research data by distributing questionnaires to Adverb's target customers to find the customer’s most favourite juice menu, so that will decide which menus will be sold on the GoFood platform. Fixed-Order Quantity models are used to determine the point and amount for purchasing raw materials (reorder points), as well as safety stock.