DESIGN OF BANK INDONESIA’S CASH DISTRIBUTION NETWORK BASED ON TRANSPORTATION MODEL USING METAHEURISTIC ALGORITHM

• Main Author: GHINA SARASWATI, FAWZIAH
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/46915
• Institution: Institut Teknologi Bandung

Bank Indonesia is the only authorized institution to issue and circulate Rupiah. In this case, an effective cash distribution system is needed that can guarantee the availability of cash stock. The effectiveness of the cash distribution system needs to be supported by the establishment of cash depots and cash subdepots that focus on location and transportation factors and the capacity of the treasury. In carrying out cash distribution operations, Bank Indonesia formed a 2-echelon distribution network consisting of the Departemen Pengelolaan Uang (DPU) as the center, Kantor Depo Kas (KDK), and Satuan Kerja (Satker). Bank Indonesia has always wanted to develop its system, including the distribution system that is being implemented. Therefore, research is needed in terms of the optimal design of Bank Indonesia's cash distribution network. This study discusses the design of Bank Indonesia's cash distribution network that can minimize total distribution costs. The analytical mathematical model was successfully developed, but it takes a long computational time, which is more than three weeks. Thus, a metaheuristic algorithm was developed using the Improved New Binary Particle Swarm Optimization (INBPSO) algorithm. The metaheuristic algorithm can produce cash distribution network design solution consisting of cities that are selected KDK and Satker and arcs between DPU and KDK, DPU and Satker, as well as KDK and Satker along with the modes of transportation used in distribution. When compared with the current conditions, the solution produced by the developed algorithm gives a total change of 28% to the selected KDK and Satker, arcs, and modes of transportation used in the cash distribution network and provides a reduction in total distribution costs by 11,160%.