Analisis Metode Economic Order Quantity (EOQ) Pada Manajemen Persediaan Pupuk Urea

Abstract

This study aims to analyze the effectiveness of using the Economic Order Quantity (EOQ) method in
managing Urea Fertilizer inventory at Toko Ichsan Tani. The EOQ method was chosen for its ability to
help the company achieve an optimal balance between storage costs and ordering costs, as well as to
reduce the risk of stockouts. The data used in this study include inventory levels, ordering costs, and
storage costs over a specified period. The results show that the implementation of the EOQ method yields
more efficient results compared to the previous inventory management methods. Additionally, the EOQ
method successfully reduced the total inventory costs incurred by Toko Ichsan Tani, both in terms of
storage costs and ordering costs. The study concludes that the EOQ method is an effective tool for
inventory management, especially in the context of small and medium-sized enterprises like Toko Ichsan
Tani. The implementation of this method can help companies plan their inventory better, reduce costs,
and enhance operational efficiency. The recommendation from this study is that similar companies
should consider adopting the EOQ method as part of their inventory management strategy to achieve
cost efficiency and optimize business operations.