XYZ is a manufacturing company that produces Yamaha brand motorbike parts such as electrical switches, electrical sockets, lever assembly and horns. Many of the products sent were returned by customers because they did not meet quality standards, for example in March 2024 there were 1,420 pcs out of a total of 19,900 pcs that were returned. This means that companies have to increase production time and costs to replace defective products that are returned because they do not have safety stock. Forecasting is needed to control the production system so that it does not experience over stock and safety stock shortages. This research aims to provide recommendations for forecasting methods that companies can use to minimize the occurrence of production excesses and shortages in the company. Forecasting is done based on historical company sales data for 12 months. The method used is the exponential smoothing method which is then tested whether this method can be used in the future. This calculation uses the help of POM-QM (Production Operation Management – Quantitative Method) software. Calculations are carried out by testing the MAD, MSE, and MAPE values to obtain calculation error values. The results obtained by forecasting the main sw srtg lock assembly product using the exponential smoothing method were 15,708 for demand for the next period, MAD 3.38, MSE 22.84 and MAPE value 26%. Based on these results, the exponential smoothing method can be a recommendation for companies to forecast future demand. This is because the value of forecasting accuracy or MAPE is reasonable. The smallest percentage of MAPE values has a fairly minimal possibility of error in forecasting results.
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