The Comparison of Total Inventory Cost

Semarang, 7 Oktober 2015 12 Carrying cost in proposed condition that is Rp 488,721,544, while the carrying cost resulting from the existing condition in PT XYZ regional Jabotabek regional is Rp. 647,219,313. In the propose condition with use P model method in PT XYZ regional Jabotabek occurs savings 24 when compared with the carrying cost on the existing condition. This occurs because number of quantity order in the proposed condition smaller than existing condition. A lower quantity order it will reduce the number of starter packs are stored, so it can reduce the carrying cost.

7.3. Comparison of Total Order Cost

Order cost arising from the activity of the starter pack made reservations to hold inventory starter pack in PT XYZ, regional jabotabek. Order costs are influenced by the cost of all orders based on the facility being used at the time of order and the number of times orders are being made to hold an inventory of stater pack. Below is a table comparing the total order cost for inventory starter pack: Table 3. Comparison of Order Cost between Proposed and Existing Condition Comparison of Order Cost between proposed and existing condition Condition Total Order Cost The Percentage of Savings Retrenchment Existing State Rp 204.189 Rp 122.515 - The proposed Condition Rp 326,705 The total order cost on the actual conditions in PT XYZ is Rp. 204.189 while the total cost of a message is generated on the proposed conditions of Rp. 326.727. In the proposed conditions by using a model of P periodic review does not happen savings when compared to the cost of the actual condition of the message. Comparison of order cost in the graph can be seen in the image below: Figure 5. Comparison Total Order Cost between Proposed and Existing Condition This is caused by the goods ordered on the proposed condition is fewer than the existing condition. Thus causing the high cost of order.

7.4. Comparison of Total Shortage cost

Cost shortage would arise if the unavailability of stater pack when there is demand from customers. Shortage cost measured by lost profits because it can not meet customer demand. The total cost of a shortage on the actual condition compared to the total cost of the flaws in the proposed conditions: Semarang, 7 Oktober 2015 13 Table 4. Comparison of Shortage Cost between Proposed and Existing Condition In the proposed condition and existing condition PT XYZ regional Jabotabek, did not experience a shortages inventory. So there is no cost to be incurred as a result of these shortage. In the existing condition PT XYZ regional Jabotabek did not experience a shortages in the inventory starter pack but too much inventory should be stored in the warehouse. While on the proposed condition, PT XYZ, not deficient, but also did not experience the shortage of inventory.

8. CONCLUSION

Based on the research objectives that have been set and the result from the data processing, the conclusions of this study are: 1. On October 2014, stater pack A207 have safety stock as 44.293. Stater pack A207 will be order if amount of inventory approaching the safety stock. The order will be do twice in October 2014, on 20 October 2014 with 15,463 as optimum order quantity and on 27 October 2014 with 92,667 with as optimum order quantity. The maximum inventory on first week is 412.738, second week is 320.071, third week is 227.403, and fourth and fifth week is 150.199. During October 2014 until September 2015, there are 49 times orders. On October 2014, starter pack H008 have safety stock as 14.048. The reorder point will be happen if amount of inventory approaching the safety stock. There is no order for stater pack H008 on October 2014. The maximum inventory on first week is 123.054, second week is 104.199, third week is 85.344, fourth week is 66.489 and fifth week is 47.634. During October 2014 until September 2015, there are 47 times orders. On October 2014, starter pack K103 have safety stock as 58. The reorder point will be happen if amount of inventory approaching the safety stock. There is no order for stater pack K103 on October 2014. The maximum inventory on first week is 2.114, second week is 2.035, third week is 1,956 fourth week 1.877, fifth week is 1.798. During October 2014 until September 2015, there are 26 times orders. On October 2014, stater pack L001 have safety stock as 120.449. Stater pack L001 will be order if amount of inventory approaching the safety stock. The order will be do five times in October 2014, on 29 September 2014 162.26320 as optimum order quantity, on 6 October 2014 73.551 as optimum quantity, on 13 October 2014 73.551 as optimum order quantity, on 20 October 2014 73.551 as optimum order quantity and on 27 October 2014 73.551 as order quantity. The maximum inventory on the first week is 42.445 and from second week until fifth week is 204.508. On October 2014, stater pack S054 have safety stock as 120.093. Stater pack S054 will be order if amount of inventory approaching the safety stock. The order will be do twice in October 2014, on 20 October 2014 with 46.621 as optimum order quantity and on 27 October 2014 with 168.133 with as optimum order quantity. The maximum inventory on first week is 770.022, second week is 601.889, third week is 433.757, and fourth and fifth week is 312.245. During October 2014 until September 2015, there are 49 times orders. Another inventory policy for other stater pack and month can be find on the attachment sheet. 2. Safety stock, optimum order quantity, reorder point and maximum inventory make some cost such as carrying cost, order cost, shortage cost which variable from total inventory cost. Total carrying cost in proposed condition with P model periodic review with variant demand method is Rp.488.721.544, while the carrying cost resulting from the existing condition in PT XYZ regional Jabotabek regional is Rp. 647.219.313. In the propose condition with use P model method in PT XYZ regional Jabotabek occurs savings 24 when compared with the carrying cost on the existing condition. In the proposed conditions by using a model of P periodic review did not occurred savings when compared to the cost of the actual condition. Because of on the proposed conditions, ordered quantities only a few quantity causing the high cost of the orders. The order cost in existing condition is Rp.204.189 while in proposed condition is Rp 326.705. In the proposed condition and existing condition PT XYZ regional Jabotabek, did not experience a shortages inventory. So there is no cost to be incurred as a result of shortage. In the existing The comparison of shortage cost the proposed condition and existing existing Condition Total Shortage Cost The percentage of savings Retrenchment Existing Rp - Rp - The proposed Rp -