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Article Content:-
Abstract
The competition of the bakery industry demands efficient management of raw material inventories to reduce costs and maintain smooth production. The Bukit Bintang Roti factory does not have a good inventory control system, so it often experiences excess and shortage of stock. This study aims to compare EOI and JIT methods in inventory control. The results of the study show that the EOI method produces a total cost of IDR 1,563,435 with an optimal quantity of 6,577 kg and an order frequency of 44 times per year. Meanwhile, the JIT method produces a lower cost of IDR 438,060 with a quantity of 3,937 kg and a frequency of 117 times per year. Thus, the JIT method is more optimal because it is able to save costs of IDR 1,125,375 and reduce the risk of accumulation and damage to raw materials.
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References
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