IMPROVING INVENTORY MANAGEMENT POLICY: CASE STUDY BOENKUS

• Main Author: Allysia Hadi, Dianita
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/64406
• Institution: Institut Teknologi Bandung

Inventory management is one of the most important functions in a business, which determines the health of the supply chain as well as impacting the health of the balance sheet. An effective inventory management system could be implemented by accurately forecasting future demands and also determining the minimum level of inventory and determining the safety stock, knowing when to order, also how much to order based on sales activity using MRP method. Boenkus is a local brand that offers an environmentally friendly food wrapping that uses beeswax in the manufacturing process in order to be completely reusable, durable, and provide antibacterial effects. Just like any other new businesses, they face problems; Boenkus has difficulties in managing products, especially in the inventory part. Boenkus often faces shortages that have led to opportunity losses. The problem occurs because they do not have the appropriate method for their inventory system. The objectives of this research are to analyze the root cause of the problem and to propose the most appropriate inventory management policy for Boenkus, which would give them an economic benefit. The methodology used in this research is the combination of quantitative and qualitative approach. This research collects data from secondary data, which is data that has existed previously. The data being used are the previous sales, demands, and existing costs. In this research, the data is analyzed using Probabilistic Model, Time Series Analysis Demand Forecasting, and Economic Order Quantity Material Requirement Planning. The result of this research shows that by implementing the appropriate inventory management policy that was proposed, Boenkus could gain economic benefits and fulfill future demands.