<![CDATA[Distribution is an important process in economic activities, which involves the delivery of goods or products from producers to end consumers. Efficiency in the distribution system highly depends on the selection of optimal routes, which can affect costs, time, and the quality of service provided. PT Amartha Anugrah Mandiri, which operates in the distribution of 3 kg LPG, faces significant challenges in terms of inefficient distribution route selection, limited fleet capacity, and unstructured variations in LPG demand. The distribution routes currently used do not consider the aspects of distance, time, and cost efficiency, resulting in the wastage of resources such as fuel and time. This research aims to optimize LPG distribution routes. The methods used in this study are the Saving Matrix and Nearest Neighbor. The Saving Matrix method is used to reduce distribution distance and costs by combining existing delivery routes, while the Nearest Neighbor is applied to determine the order of visits to the nearest bases gradually. Both methods are designed to produce distribution routes that are efficient in terms of time, distance, and cost, as well as to maximize the use of the existing fleet. The data in this study were obtained thru direct observation at PT. Amartha Anugrah Mandiri. The data collected included base locations, LPG demand, vehicle capacity, and operational costs. There are 22 bases served with a total delivery reaching 1120 LPG 3 kg cylinders spread across various sub-districts of Batam City. Deliveries are carried out using trucks with a maximum capacity of 560 cylinders, so in one day, distribution requires more than one trip. Using this data, the distance matrix and savings matrix were calculated to design a more efficient distribution system. The research results show that the application of these two methods successfully reduced the total distance traveled, delivery time, and operational costs significantly, as well as improved the efficiency of LPG distribution. This research is expected to contribute to the company so that the 3 kg LPG delivery process can run optimally.]]>
