PT Gelora Djaja is one of the companies under the holding company PT Wismilak Inti Makmur Tbk. This company focus on producing cigarettes in two types sigaret kretek mesin (SKM) and sigaret kretek tangan (SKT). Companies want to reduce lead time in the purchasing process. One of the main focus in the process is making purchase order. Identification and evaluation conducted at the Department of Procurement PT Gelora Djaja. The method used for problem identification is value added and non value added activity. Value added and non value added activity aims to analyze the processes that occur in the company so it can look for a problematic process. There are five main problems: delayed purchase requisition, unstandardized order item name, urgent goods requirement, purchasing activity, and note-keeping activity and purchase order input. There are three proposed improvements that have been implemented. The results of the proposal can decrease lead time by 13.34% on march, 4,23% on april, and reduce the working time up to 1 working day
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