Track: Master Thesis Competition

Abstract

The number of batik SMEs continues to grow in line with the amount of liquid waste produced by batik SMEs. But unfortunately, the shortcomings of batik SMEs in Indonesia is the treatment of waste that is still bad. This has an impact on the decrease in water and soil quality in the environment around batik SMEs. To reduce waste pollution, it has been supported by government regulations on hazardous and toxic waste. In line with this, academics and researchers in Indonesia have made innovations in the technology of effective batik wastewater treatment equipment. However, the technology still has commercialization problems to enter the market test related to tool prices and equipment availability. So it takes industry or business that can support it. A good business requires supply chain network design for manufacturing cost efficiency. Therefore, this study aims to evaluate the feasibility of commercialization and develop mathematical models on the supply chain system of batik wastewater treatment equipment. The research was conducted in three districts namely Pekalongan, Pemalang, and Tegal to propose the location of facilities that have the minimum investment cost and maximization profit. The method used is mix integer linear programming using ILOG CPLEX software. The results obtained from this study are commercialization feasibility decisions in the form of recommendations to establish supplier facilities with techno-economic methods such as, BEP, ROI, PBP, NPV and IRR. Another result is the recommendation of payment options that commercially allow for batik SMEs and the development of mathematical models of designing a supply chain network of batik wastewater treatment equipment that maximize profits.

Keywords

Batik Wastewater Treatment Equipment, Investment Feasibility, Mix Integer Linear Programming, Payment Options, Supply Chain Network Design