Raw Material Inventory Analysis Using the Economic Order Quantity (EOQ), Reorder Point (ROP), and Safety Stock Methods: A Case Study of Landterra Coffee Shop
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The rapid growth of the coffee shop industry in Surakarta City has increased business competition, demanding operational efficiency, particularly in managing perishable and volatile raw material inventory. This study aims to analyze raw material inventory control at Landterra Coffeeshop using the Economic Order Quantity (EOQ), Reorder Point (ROP), and Safety Stock methods. The literature review refers to inventory management concepts that emphasize the balance between cost and stock availability, as well as the theories of EOQ, ROP, and Safety Stock as inventory optimization tools. The research method used is descriptive quantitative with secondary data in the form of raw material demand, ordering costs, holding costs, and lead time. Data collection techniques were carried out through documentation, observation, and interviews. The results of the raw material inventory analysis using the conventional method resulted in an inventory cost of Rp 5,401,000, and the EOQ method resulted in an inventory cost of Rp 5,056,160. This indicates that the Economic Order Quantity method at Landterra Coffeeshop saves up to Rp 344,840, or 6.39%.
Keywords: Economic Order Quantity, Safety Stock, Reorder Point, Raw Material Inventory, Cost Efficiency.
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