Track: Inventory Control

Abstract

XYZ Company is a coffee shop located at Menara Bidakara; it supplies its ingredients from various suppliers. Some ingredients like duck meat, boneless chicken, and mineral water are each supplied from 3 different suppliers. This becomes an issue since supplying with random suppliers causes ineffectiveness and inefficiency in other business aspects. To see the problem in the big picture, the company's business model is analyzed using Business Model Canvas, and the supplier selection is calculated using Analytical Hierarchy Process (AHP) method. The criteria considered by the managers when picking the right supplier are quality (71.68%), delivery system (20.9%), and procurement system (7.4%). The result proposed the best suppliers for duck meat according to the preferences are supplier 2 (52%), supplier 3 (21.9%), supplier 1 (13.5%), and random selection (12.6%). The result proposed the best suppliers for boneless chicken according to the preferences are supplier 1 (51.3%), supplier 3 (19.6%), supplier 2 (18.7%), and random selection (10.4%). The result proposed the best suppliers for mineral water according to the preferences are supplier 3 (36.4%), supplier 1 (23.9%), supplier 2 (23.5%), and random selection (16.4%).