Track: Supply Chain Management

Abstract

Pati Regency is one of the leading producers of raw salt in Indonesia and still has some potential in the future. However, the salt quality did not fulfill the specifications, resulting in an unstable demand for the material stock. Causing raw salt prices to fluctuate greatly, allowing salt farmers in Pati to get little compensation. Various breakthroughs that can give greater incentives to salt producers by enhancing their quality must be sought. This case study discusses how to use optimal terminal facility allocation, as well as decisions on opening and shutting terminal facilities. To maximize the advantage of all stakeholders, the linear programming approach is utilized to connect supply chain network design with warehouse receipt systems. The findings show that utilizing the model that was used, the decision was made to
keep terminal 1 open.