Abstract
PT Anugrah Citra Boga is a food processing industry that produces meatballs as their main product. The distribution system of the products must be considered, because it needs to be more efficient in order to reduce the shipment cost. The purpose of this research is to optimize the distribution time by simulating the distribution channels with capacitated vehicle routing problem method. Firstly, the distribution route is observed in order to calculate the average speed, time capacity and shipping costs. Then build the model using AIMMS software. A few things that are required to simulate the model are customer locations, distances, and the process time. Finally, compare the total distribution cost obtained by the simulation and the historical data. It concludes that the company can reduce the shipping cost around 4.1% or Rp 529,800 per month. By using this model, the utilization rate can be more optimal. The current value for the first vehicle is 104.6% and after the simulation it becomes 88.6%. Meanwhile, the utilization rate of the second vehicle is increase from 59.8% to 74.1%. The simulation model is able to produce the optimal shipping route with time restriction, vehicle capacity, and amount of vehicle.
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