ANALYSIS OF SINGLE VS. MULTIPLE SUPPLIER TOWARDS THE CONTINUITY OF PRODUCTION (OPERATIONAL RISK) DURING PANDEMIC OF COVID-19 CASE STUDY: FILTER CLOTH AT MINERAL PROCESSING COMPANY WITH FLOTATION PROCESS

• Main Author: Arsyad, Mahadi
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/54719
• Institution: Institut Teknologi Bandung

PT XYZ is mineral processing company with flotation process where copper concentrate as the final product to be sold to client. The problem occurred was started with disruption in supply chain of critical consumables in production, which is filter cloth. Filter cloth is used at the last step of production to filter the slurry to reduce the water content to become 9-10%. Since pandemic COVID-19, supply chain of filter cloth is disrupted, which decreasing the amount of filter cloth can be supplied to user, causing PT XYZ is unable to maintain minimum stock level of filter cloth at warehouse. Moreover, the unavailability of filter cloth was occurred on November 2020. Single supplier strategy was acquired as the root-cause problem from the 5 Whys’ method. One of single supplier’s trait is f or cost saving, but in contrary can expose to other operational risks. Filter cloth consumption value approximately USD 1, 128-1,550 is incomparable compared to the production value of PT XYZ which is around USD 2.2 million per day. In the other hand, the unavailability of filter cloth can expose to operational risk, even for 1 day counted USD 2.2 million. Risk mitigation proposed to solve the problem is by changing the strategy of supply chain, from single supplier to become multiple suppliers with quantitative and qualitative approaches.