Abstract

UD Bangkit Tiga Brothers is one of the SMEs engaged in the furniture manufacturing industry with antique products. The problem that occurs in this company is that it cannot estimate the exact number of orders for raw materials because the number of sales varies each period. So that every time you place an order, you sometimes exaggerate the product to be used as stock and save on ordering costs in the transportation section. At a certain time when there is a demand but the stock in the warehouse runs out so you have to reorder and excess orders for stock supplies. One solution that is applied to overcome this problem is the Lot Sizing method. By applying this method, the raw material procurement system can be identified by predicting the demand for raw materials and using the Lot Sizing method in order to obtain the optimum raw material procurement. Optimul forecasting results were obtained using the Exponential Smoothing method with a MAPE of 20.34%. The forecasting value obtained is 45.62 46 pcs in August 2022 with an accuracy value of 79.66% of the results then calculated using the Lot Sizing method. The results of the calculation of the Lot Sizing method obtained the optimal method, namely the Period Order Quantity (POQ) which is Rp. 58.130.923,-. The resulting difference with the value of the company is Rp. 4,217,240, - or 6.76%. From the figures obtained, it results in cost savings that are very profitable for the company.

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