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Lilis
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IMPLEMENTATION OF THE SIMPLEX METHOD IN MAXIMIZED DONUT PRODUCTION PROFITS AT ARSYILA BAKERY Gayus Simarmata; Juli Antasari Br Sinaga; Lilis; Yuliana Nainggolan; Jelli Sijabat; Vania Yocelin Sagala
International Journal of Social Science, Educational, Economics, Agriculture Research and Technology (IJSET) Vol. 3 No. 6 (2024): MAY
Publisher : RADJA PUBLIKA

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.54443/ijset.v3i6.1513

Abstract

Arsyila Bakery, a bakery MSME, faces challenges in determining the most efficient donut production combination. Production decisions have been based on intuition, potentially leading to waste of raw materials and inability to generate maximum profits. This study aims to formulate a Linear Program model as a decision-making tool in determining donut production strategies, namely Potato Donuts x_1 and Milk Donuts x_2, in order to obtain optimal daily profits. A quantitative approach is used through the Linear Program optimization method with the objective function of maximizing profits z = 3000x_1 + 2000x_2, which is limited by nine constraints of raw material availability and production capacity. The model is solved using the Simplex Method algorithm through POM-QM software for Windows. The analysis results show that the optimal solution is achieved by producing 8 units of Potato Donuts and 0 units of Milk Donuts, resulting in a maximum profit of Rp24,000 per day. The binding constraints in the model are Sugar and Potatoes, which are the main limiting factors of production. The economic value (shadow price) indicates that the addition of sugar has the greatest impact on increasing profits, at IDR 2,000 per kilogram, followed by potatoes at IDR 5,000 per kilogram. Based on these findings, it is recommended that Arsyila Bakery implement this optimal production combination and prioritize increasing sugar stock to support improved operational performance and achieve higher profits.
Co-Authors Achmad Nazril Adisuhanto, Marcella Afriana Akmal Akmal Amita, Angela Shinta Dewi Ana Lucia Ekowati Ananta Pramayshela Andi Tabrani Rasyid Annisa Dwiyanti Sitompul Anwir mk. Sulu Aprilandani Astri Parawita Ayu, Astri Parawita Aswar Bayu Septia Ramdani Callista, Aurelia Chitra Chryzia Jacqueline Natividad, Rachel Darlis, Idhar Dian Ardianti Elmawati Farah Luqyana Gayus Simarmata Gratia, Isadora Hadiyanto Hamzah Happy Karlina Marjo Hasanah Ina Herdi Ian Vanath Alhakim Ikhwanul Muslim Indra Yanto JAMALUDIN Jelli Sijabat Juli Antasari Br Sinaga Jumarni Kadek Desi Martini Khalid Rijaluddin Kodrata, Grace Angelica Kurniati Laurentius Aswin Pramono Lilis, Lilis Lisa Sabina Maria Dara Novi Handayani, Maria Dara Novi Mariani Santosa, Mariani Mohassagif Mursal Aziz Nasywa Kayla Nawanto Agung Prastowo Nazwa Anabella Nova Tristanty Priscilla, Yuddy Giovanna Putri Nur fahirah armiati Riani, Mutiara Rico Anggara Eddiyatama Putra Rizal Rusnita Safar Nasa Safrul Rijali Santi, Bryany Titi Shakira Fadla Sherly Kartika Devi Shinta, Angela Shofia Nurun Alanur S Siti Andini Sukmawati Sukmawati Sunariyo SUSANTI Thalib, Kiki Uniatri Vania Yocelin Sagala Vina Karina Putri Winarni Yosafat Yuliana Nainggolan Yuliana Yuliana Yunisa Astiarani Zasqiah, Dela Namirah