Analysis of Burger Main Raw Material Inventory Control Using the Economic Order Quantity (EOQ) Method and the Just in Time (JIT) Method

Reny Rahmadini; Tengku Nurainun; Misra Hartati; Fitriani Surayya Lubis; Muhammad Nur

doi:10.22441/ijiem.v7i1.31502

Authors

Reny Rahmadini Department of Industrial Engineering, Faculty Sains and Technology, Universitas Islam Negeri Sultan Syarif Kasim Riau, Jl. HR. Soebrantas Km. 15 Simpang Baru Kota Pekanbaru, Riau 28293, Indonesia
Tengku Nurainun Department of Industrial Engineering, Faculty Sains and Technology, Universitas Islam Negeri Sultan Syarif Kasim Riau, Jl. HR. Soebrantas Km. 15 Simpang Baru Kota Pekanbaru, Riau 28293, Indonesia
Misra Hartati Department of Industrial Engineering, Faculty Sains and Technology, Universitas Islam Negeri Sultan Syarif Kasim Riau, Jl. HR. Soebrantas Km. 15 Simpang Baru Kota Pekanbaru, Riau 28293, Indonesia
Fitriani Surayya Lubis Department of Industrial Engineering, Faculty Sains and Technology, Universitas Islam Negeri Sultan Syarif Kasim Riau, Jl. HR. Soebrantas Km. 15 Simpang Baru Kota Pekanbaru, Riau 28293, Indonesia
Muhammad Nur Department of Industrial Engineering, Faculty Sains and Technology, Universitas Islam Negeri Sultan Syarif Kasim Riau, Jl. HR. Soebrantas Km. 15 Simpang Baru Kota Pekanbaru, Riau 28293, Indonesia

DOI:

https://doi.org/10.22441/ijiem.v7i1.31502

Keywords:

Economic order quantity, Forecasting, Inventory, Just in time, Raw material

Abstract

Burger Fandawa is an MSME in Pekanbaru that faces problems in managing the inventory of the main raw materials, namely bread, meat, and sauce. The main problem is the uncertainty of demand and inventory irregularities that cause shortages or excess stock, thus disrupting smooth production and cost efficiency. This study aims to analyze the main raw material inventory management method using the Economic Order Quantity (EOQ) and Just In Time (JIT) approaches to determine the most optimal method. The research method used is quantitative analysis based on demand data, ordering costs, storage costs, and lead time of the main raw materials during 2023. The results of the analysis show that the optimal purchase quantity according to EOQ is 236.505 packs of bread, 93.510 kg of meat, and 118.866 kg of sauce, with a total inventory cost of IDR. 2,763,809,416. Meanwhile, the JIT method results in a lower total inventory cost of IDR. 1,142,030,936, with a savings difference of IDR. 1,621,778.48. Based on these results, the JIT method is considered more optimal for managing raw material inventory at Burger Fandawa. The JIT method is more efficient in reducing inventory costs and increasing the effectiveness of managing the main raw material stocks.

Downloads

Download data is not yet available.

References

Al Fitroni, M. R., & Pulansari, F. (2024). Analysis of PVC-based Product Inventory Control with Economic Production Quantity and Lagrange Multiplier Methods at PT . XYZ. 5(1), 148–157. https://doi.org/10.22441/ijiem.v5i1.22308

Annaafi, A. R., Azizah, F. N., Kurniadi, F., Pradana, F. Y., & Sodiq, A. (2024). Optimasi Efisiensi dan Profitabilitas Melalui Sistem Just In Time: Pengurangan Persediaan dan Biaya yang Tidak Perlu. Jurnal Ekonomi, Manajemen, Dan Perbankan (INFLASI), 1(1), 1–9. https://ejurnal.faaslibsmedia.com/index.php/inflasi/article/view/12

Hidayat, K., Efendi, J., & Faridz, R. (2020). Analisis Pengendalian Persediaan Bahan Baku Kerupuk Mentah Potato Dan Kentang Keriting Menggunakan Metode Economic Order Quantity (EOQ). Performa: Media Ilmiah Teknik Industri, 18(2), 125–134. https://doi.org/10.20961/performa.18.2.35418

Hidayat, R., Wahyuda, & Sitania, F. D. (2024). Soybean Inventory Management at Gesit Tahu Factory Using the Economic Order Quantity ( EOQ ) Method. 5(2), 477–486. https://doi.org/10.22441/ijiem.v5i2.22938

Katsikouli, P., Wilde, A. S., Dragoni, N., & Høgh-Jensen, H. (2021). On the Benefits and Challenges of Blockchains for Managing Food Supply Chains. Journal of the Science of Food and Agriculture, 101(6), 2175–2181. https://doi.org/10.1002/jsfa.10883

Lusiana, A., & Yuliarty, P. (2020). PENERAPAN METODE PERAMALAN (FORECASTING) PADA PERMINTAAN ATAP di PT X. Industri Inovatif : Jurnal Teknik Industri, 10(1), 11–20. https://doi.org/10.36040/industri.v10i1.2530

Meilani, E. P., & Azizah, F. N. (2023). Perbandingan Efektivitas Metode EOQ dan JIT dalam Pengelolaan Persediaan pada PT XYZ. STRING (Satuan Tulisan Riset Dan Inovasi Teknologi), 7(3), 276. https://doi.org/10.30998/string.v7i3.14585

Nurhayati, N., Dimyati, K., Absori, A., Wardiono, K., Iksan, M., Rizka, R., & Harun, H. (2022). Culinary Industry Health Product in Surakarta, Indonesia: Health Policy Guaranteeing Halal and Healthy Products. Open Access Macedonian Journal of Medical Sciences, 10(Figure 1), 88–91. https://doi.org/10.3889/oamjms.2022.7340

Olusuyi, E., Olutokunbo, T., & Ebun, F. (2021). Effective Inventory Management Practice and Firms Performance: Evidence From Nigerian Consumable Goods Firms. American International Journal of Business Management, 4(5), 65–76.

Pratama, I. A., & Ernawati, D. (2023). Inventory Control Analysis of Sticker Raw Materials Using Continuous (Q) and Periodic Review (P) Methods at PT Adiguna Label Indonesia. IJIEM - Indonesian Journal of Industrial Engineering and Management, 4(3), 331. https://doi.org/10.22441/ijiem.v4i3.20967

Putrianti, E. E., & Sitania, F. D. (2024). Soybean Inventory Management in the Production Process of the Semoga Laris Tofu Factory. 5(2), 379–391. https://doi.org/10.22441/ijiem.v5i2.24140

Ramadhan, A., & Saifuddin, J. A. (2024). Analysis of Raw Material Inventory Control Using the Min-Max Stock Method to Control Inventory Costs at PT. Artha King Indonesia. 5(2), 529–544. https://doi.org/10.22441/ijiem.v5i2.22293

Rizki, M., Wenda, A., Pahlevi, F. D., Umam, M. I. H., Hamzah, M. L., & Sutoyo. (2021). Comparison of Four Time Series Forecasting Methods for Coal Material Supplies : Case Study of a Power Plant in Indonesia. International Congress of Advanced Technology and Engineering (ICOTEN), 1–5. https://doi.org/https://doi.org/10.1109/ICOTEN52080.2021.9493522

Ruspitasari, W. D., & Anselah, S. (2023). Experiential Value Stimulus Affects Emotion and Word of Mouth: Study at a Local Restaurant. Atlantis Press SARL. https://doi.org/10.2991/978-2-38476-172-2_11

Sakti, D. B., Nur Iman, M. A., & Kusuma Firdausy, S. B. (2023). Potensi Keberhasilan Penerapan Just-In-Time Dalam Industri Kecil Menengah. Sanskara Manajemen Dan Bisnis, 1(03), 161–171. https://doi.org/10.58812/smb.v1i03.206

Tuffahati, S. A., & Pulansari, F. (2023). Analysis of Cocoa Bean Inventory Control with Continuous (Q) and Periodic (P) Review System Methods at Majapahit Chocolate Factory. IJIEM - Indonesian Journal of Industrial Engineering and Management, 4(3), 252. https://doi.org/10.22441/ijiem.v4i3.20812

Utami, B., & Setyariningsih, E. (2019). Perbandingan Metode Economic Order Quanitity (EOQ) dan Just In Time (JIT) Terhadap Pengendalian Persediaan Bahan Baku. Jurnal Riset Akutansi Dan Keuangan, 2(September), 143–151. http://ejurnal.unim.ac.id/index.php/prive