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All Journal International Journal of Social Service and Research
Hardika Adiyagsa
Institut Teknologi Sepuluh Nopember
Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Environmental Science Languange, Linguistic, Communication & Media Law, Crime, Criminology & Criminal Justice Social Sciences

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Optimization of Shipping Cost and Supply Chain for PT Pertamina's National Asbuton Distribution Using Vehicle Routing Problem and Genetic Algorithm Hardika Adiyagsa; Machsus Machsus
International Journal of Social Service and Research Vol. 6 No. 10 (2026): International Journal of Social Service and Research
Publisher : Ridwan Institute

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.46799/ijssr.v6i10.1481

Abstract

The utilization of Asbuton (Buton asphalt) as a national strategic material remains suboptimal due to high shipping costs and an insufficiently integrated supply chain across the Indonesian archipelago. PT Pertamina (Persero), as the national distributor, faces challenges in selecting producers, determining distributors, and designing efficient shipping routes amid varying demand, limited vessel capacity, and port infrastructure constraints. This study develops a three-tier distribution network model (producer–distributor–province) that accounts for a 5,000-ton vessel capacity limit, a split-shipment mechanism, and distribution costs based on geodesic distance and fixed port charges. An initial solution is generated using a nearest-neighbor heuristic and is subsequently optimized using a Genetic Algorithm with a population size of 150 over 250 generations to minimize total freight costs. The results show that the model reduces the cumulative distribution distance by 17% for Asbuton B5/20 (from 17,730 NM to 14,684 NM) and by 50% for B50/30 (from 4,630 NM to 2,313 NM), resulting in cost savings of approximately IDR 50 million and IDR 9.5 billion, respectively. No efficiency gain was observed for CPHMA because demand originates from only one province. The average distribution cost was USD 26.41 per ton for B5/20 and USD 9.21 per ton for B50/30, indicating competitive efficiency in the inter-island distribution of construction materials. Under a realistic financial model requiring 100% fulfillment of provincial demand, the national distribution network serves all 23 provinces through 36 shipments, 69.4% of which are profitable, resulting in an overall network profit margin of 82.58%.
Co-Authors Machsus Machsus