12th Annual International Conference on Industrial Engineering and Operations Management

Application of Distribution Activity Planning with Distribution Requirement Planning Method on Pump Products In PT. XYZ

Tasya Monica, Vanecia Marchella Hardinanerl, Lina Gozali & Ahad Ali
Publisher: IEOM Society International
0 Paper Citations
Track: Supply Chain and Logistic Competition

PT. XYZ is a company engaged in oil and gas manufacturing. The products made are ESP pumps or petroleum pumps. PT. XYZ has not yet applied a special method of planning demand in each of its distribution areas. This company also does not have a distribution activity schedule for the products to be shipped. This condition gives result in companies experiencing problems meeting customer demands and incurring excess distribution costs because they do not have optimal distribution activities. Therefore, the solution to this problem is to use the Distribution Requirement Planning (DRP) method. Distribution Requirements Planning is a method used to determine every need that occurs in the distribution process. By applying this DRP method, distribution costs can be reduced by IDR 15.920.327 with a cost reduction percentage of 32.61%.

Published in: 12th Annual International Conference on Industrial Engineering and Operations Management, Istanbul, Turkey

Publisher: IEOM Society International
Date of Conference: March 7-10, 2022

ISBN: 978-1-7923-6131-9
ISSN/E-ISSN: 2169-8767