Abstract
Supply chain management is a crucial aspect of a company's operations. This study aims to examine the application of the Economic Order Quantity (EOQ) method in managing finished product inventory at Evodis Aroma, a company engaged in the essential oil aromatherapy industry. Efficiency in supply chain management, particularly inventory management, is key for companies to meet customer demand while minimizing operational costs. The EOQ method is applied to determine the optimal quantity of products to order or produce in order to minimize storage and ordering costs. In addressing the challenges of demand fluctuations and storage constraints, the EOQ method is expected to optimize inventory and enhance operational efficiency at Evodis Aroma. The findings of this study indicate that the implementation of EOQ significantly contributes to reducing storage costs and improving product availability to meet market demand, thereby increasing the company's overall efficiency.
Published Version
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