SUPPLIER SELECTION USING FUZZY ANALYTICAL HIERARCHY PROCESS APPROACH (CASE STUDY AT PT NUSANTARA BETA FARMA)

Putri, Aulia Oktriani (2022) SUPPLIER SELECTION USING FUZZY ANALYTICAL HIERARCHY PROCESS APPROACH (CASE STUDY AT PT NUSANTARA BETA FARMA). Diploma thesis, Universitas Andalas.

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Abstract

A supply chain itself is a network of facilities that procure raw materials, transform them into final products, and deliver the products to customers through a distribution system that involves several stages, such as suppliers, manufacturers, distributors, retailers, and customers. Supply chain management is one aspect that has been considered important in the company. The concept that is developing in the current supply chain issue is the lean concept. Application of lean concepts in supply chain management can reduce or eliminate non-added value activities or waste along the supply chain flow, so that the level of productivity will increase. One of the chains in the supply chain is supplier. The relationship between companies and suppliers is very important. This is because the relationship between the company and its suppliers can affect the overall performance of the company. Application of lean concepts to suppliers will help companies to work with suppliers that really fit the company's needs. PT Nusantara Beta Farma has many suppliers to supply raw materials for the production processes. Among the many raw materials, PT Nusantara Beta Farma has several exist raw materials that are needed in large quantities and are routinely used. PT Nusantara Beta Farma wants to keep this exist raw material stock in a safe stock range, where these exist raw materials are alcohol 95% and salicyl acid. Along with that, PT Nusantara Beta Farma also wants to maximize efficiency by minimizing or eliminating the problem of finding others supplier and being late in coming or rejecting raw materials. To achieve this goal, the lean supplier approach is used in finding key suppliers. The key supplier is selected from a supplier that supplies exist chemical raw materials. Selection of key suppliers can be done by various methods, one of which is the Fuzzy Analytical Hierarchy Process (Fuzzy-AHP). Based on research that has been done, there are 8 criteria with 22 sub-criteria that have been obtained. These criteria were then weighted and the results obtained were quality (0,3433), service (0,2025), flexibility (0,2025), delivery (0,0695), cost (0,0570), quantity (0,1216), reliability (0,0035), and financial condition (0,0000). The weight of these criteria will affect the choice of suppliers. The supplier selection is carried out on two exist raw materials, namely alcohol 95% and salicyl acid. Based on the calculation results, it was found that CV Budiarta is ranked first for the selection of alcohol 95% suppliers. While PT Tirta Buana Kemindo is ranked first in the selection of salicyl acid suppliers.

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