Model of Supply Chain Management for Food Product Industry Companies

Abstract

Abstract The purpose of this research is to produce an SCM model that can be used as a reference by the Head of the Procurement Section and the Head of the Distribution Division in controlling each activity in the supply chain, covering activities from upstream to downstream in the food industry. This study used descriptive analysis method. The Head of the Procurement Section in planning the determination of the number of raw materials that must be held for production activities sometimes has difficulty in determining the right amount of raw materials to be held and ordered to suppliers so that the stock of raw materials in the warehouse is deficient or sometimes excessive. The result was a problem that occur in the Upstream which has an impact in the downstream, namely the Head of Distribution Division. The distribution activities has difficulty in scheduling distribution. It can be concluded that Single Moving Average is a type of forecasting method that can be used in completing the determination of raw materials that must be held in procurement activities, while the company’s business processes can be used in making the distribution schedule.