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Ryan Farel
Department of Industrial Engineering, Faculty of Engineering, Universitas Malikussaleh, Lhokseumawe, Indonesia
Chemical Engineering, Chemistry & Bioengineering Control & Systems Engineering Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Environmental Science

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Raw Material Inventory Control Using the POQ Method for Cost Efficiency at SPPG Kota Siantar Ryan Farel; Diana Khairani Sofyan; Trisna
Jurnal Industri Samudra Vol 7 No 2 (2026): Jurnal Industri Samudra
Publisher : Program Studi Teknik Industri, Fakultas Teknik. Universitas Samudra

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.55377/jis.v7i2.15263

Abstract

Effective inventory management is crucial for the operational continuity of service units, including the Nutrition Fulfillment Service Unit (SPPG) that implements the Free Nutritious Meal (MBG) Program. The Siantar City SPPG faces issues with poorly scheduled ordering patterns for raw materials—specifically rice and cooking oil—resulting in excessive ordering frequency, inflated transportation and administrative costs, and inventory accumulation in the warehouse. This study aims to determine the optimal order quantity, optimal ordering period, and Total Inventory Cost (TIC) by employing the Periodic Order Quantity (POQ) method in conjunction with calculations for Economic Order Quantity (EOQ), Safety Stock, and Reorder Point (ROP). The data utilized includes consumption figures, incoming stock, raw material prices, ordering costs, and lead times recorded from January to February 2026. The results indicate an optimal order quantity of 1,960.86 kg for rice and 1,236.45 liters for cooking oil, with optimal ordering intervals of 13 and 18 working days, respectively. Implementing the POQ method yields a Total Inventory Cost of Rp555,571.51 for rice and Rp370,847.50 for cooking oil—a combined total of Rp926,419.01—which is significantly lower than the organization's actual cost of Rp2,816,999.40. Consequently, the POQ method achieves a total inventory cost saving of Rp1,890,580.39, or 67.1%, compared to the Siantar City SPPG's actual ordering policy.
Co-Authors Diana Khairani Sofyan trisna