Jurnal Management Risiko dan Keuangan
Vol. 4 No. 1 (2025)

Analysis of Inventory Control of Raw Materials for Cotton Fabric Using the Economic Order Quantity Method

Chairunnisa, Ananda (Unknown)
Surachman (Unknown)



Article Info

Publish Date
10 Jul 2025

Abstract

Purpose – This study aims to determine and optimize the supply of cotton fabric raw materials at PT Sansan Saudaratex Jaya Cibaligo using the Economic Order Quantity (EOQ) method.   Design/methodology/approach – This research uses a quantitative approach with data collected through interviews and documentation. The data were analyzed using the EOQ method, including calculations of purchase frequency, Total Inventory Cost (TIC), safety stock, and reorder point.   Findings –  The results show that the EOQ method produces lower total inventory costs compared to the conventional method. This leads to improved cost efficiency and increased company profitability.   Originality/value – This study demonstrates the practical application of EOQ in optimizing raw material inventory management and reducing excess stock in a manufacturing company context.

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Journal Info

Abbrev

jmrk

Publisher

Subject

Decision Sciences, Operations Research & Management

Description

Publish all forms of quantitative and qualitative research articles and other scientific studies related to the field of Risk Management and ...