Evaluation of Raw Material Inventory in the Garment Industry Using Probabilistic EOQ
Evaluasi Inventory Bahan Baku Industri Konveksi menggunakan EOQ Probabilistik
DOI:
https://doi.org/10.21070/ups.10715Keywords:
Economic Order Quantity (EOQ), Inventory Control, Safety Stock, Reorder PointAbstract
Caping Sablon SME experiences excess and shortage of raw material inventory which disrupts production and delivery processes. This study aims to determine the optimal order quantity, safety stock, reorder point, and total inventory cost to improve inventory control efficiency. The method used is the probabilistic Economic Order Quantity (EOQ) with demand forecasting using simple linear regression, followed by EOQ, safety stock, and reorder point calculations. The results show an optimal order quantity of 197 rolls, safety stock of 23 rolls, and reorder point of 98 rolls with a total inventory cost of Rp 6,848,109.39, reducing inventory costs by about 24%
and improving inventory efficiency.
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