SPARE PARTS INVENTORY PLANNING AT PT XYZ WOODYARD DEPARTMENT

Nadia, Dea Putri (2024) SPARE PARTS INVENTORY PLANNING AT PT XYZ WOODYARD DEPARTMENT. Diploma thesis, Universitas Andalas.

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Abstract

The pulp and paper industry, which significantly impacts human life, is experiencing a global increase in demand, particularly in Indonesia. PT XYZ, a leading company in Indonesia's pulp and paper sector, faces challenges in maintaining smooth production due to frequent machine breakdowns, especially in the Woodyard Department, caused by the unavailability of spare parts in the warehouse. The current inventory system, based on minimum and maximum stock levels derived from previous usage data, results in both overstock and stockout conditions for spare parts. Therefore, it is necessary to evaluate and optimize the spare parts inventory planning in the Woodyard Department of PT XYZ to enhance production efficiency and minimize operational costs. The planning method used in this inventory management involves the ABC-FNS classification and the periodic review method to achieve optimal results. Inventory planning for fast-moving, high-cost spare parts uses the (R, s, S) model, medium-cost, medium-movement spare parts use the (R, S) model, and slow-moving spare parts are managed based on average expenditure. Analysis of 12 months of transaction data identified 91 items in the high-surveillance category, 73 items in the medium-surveillance category, and 24 items in the low-surveillance category. The proposed model results in savings of $6,801.19 (38.89%) from the total inventory costs compared to the current policy.

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