Title of article :
Economic Order Quantity Model for Agricultural Products with Harvest Period
Author/Authors :
Mauluddin, Yusuf Jurusan Teknik Industrial - Institute Technology Garut, Indonesia , Aulawi, Hilmi Jurusan Teknik Industrial - Institute Technology Garut, Indonesia , Ikhwana, Andri Jurusan Teknik Industrial - Institute Technology Garut, Indonesia , Cahyadi, Dani Jurusan Teknik Industrial - Institute Technology Garut, Indonesia , Rahmawati, Dewi Jurusan Teknik Industrial - Institute Technology Garut, Indonesia
Abstract :
This study aims to develop an Economic Order Quantity (EOQ) model for agricultural products with a harvest
period. These agricultural products can be stored for a long period, such as coffee and rice. The developed model
assumes that the product can only be supplied during the harvest period while the demand is continuously increasing
throughout the year. The harvest period only takes place once a year. During harvest, product orders are made to
meet demand during harvest and storage to meet demand during non-harvest periods. The storage process will
require a warehouse with sufficient capacity to accommodate the same number of products as demand in the non-
harvest period. The developed model optimizes the order time interval with a minimum total inventory cost. Based
on the optimization results, it can be calculated the frequency of orders, the quantity per one order, the minimum
warehouse capacity that must be prepared, and the total cost of ordering per year. Based on sensitivity analysis,
changes in harvest and non-harvest periods have a significant effect on total costs.
Keywords :
Agricultural products , Economic order quantity (EOQ) , inventories
Journal title :
Journal of Industrial Engineering International