EVALUATING CONTINUOUS REVIEW AND PERIODIC REVIEW SYSTEMS FOR BOTTLED WATER RAW MATERIAL INVENTORY MANAGEMENT

Syahidah Amaturrosyid (Universitas Negeri Malang)
Rudi Nurdiansyah (Universitas Negeri Malang)
Abdul Muid (Universitas Negeri Malang)
Aisyah Larasati (Universitas Negeri Malang)
Sevira Nallendra Putri (Universitas Negeri Malang)
Shafa Wulan Ramadhanti (Universitas Negeri Malang)
Virna Rachma Fitriani (Universitas Negeri Malang)

Multidiciplinary Output Research for Actual and International Issue (Morfai Journal)
Vol. 6 No. 4 (2026): Multidiciplinary Output Research For Actual and International Issue

Intuition-based inventory planning at PT XYZ, a brand-owning bottled water company, has led to inventory imbalances resulting in overstocking and stockouts that trigger cost inefficiencies. This study aims to perform a comparative analysis between the company's actual policy, the Continuous Review System (Q-System), and the Periodic Review System (P-System) methods to optimize inventory costs. The research utilizes a quantitative comparative approach on 330 mL and 600 mL variants using 2025 operational data. The results indicate that the Q-System can reduce operational costs by up to 33,62%, while the P-System only yields marginal cost savings of 4,04% compared to the actual method. For both the 330 mL and 600 mL variants, the Q-System proved to be the definitively superior model by maintaining a much smaller, yet highly secure safety stock. In conclusion, the company is advised to fully transition its inventory policy to the Q-System to minimize physical holding costs while effectively eliminating the expensive risk of stockouts in a volatile market.