In Surakarta and its surroundings (Solo Raya), there exists more than 400 Small-
Medium Enterprises (SMEs) that produce finished products of rattan. Due to the high
procurement cost as total operational cost of raw rattan distribution network from the sources,
e.g. Borneo and Celebes to the rattan industries, the competitiveness of their products is lower
than products from other countries. Therefore, to overcome the problem, those costs should be
reduced for example by aggregating the demand of rattan industries. This police needs to be
supported by the warehouse for storing and distributing raw rattan. Hence, this research aims to
develop a facility location-allocation model so that total supply chain costs, including raw rattan
procurement costs as well as facilities opening and closing costs can be minimized. The locationallocation
model will be presented in a mixed integer non-linear programming model and solved
using MS-Excel Solver. The results are number and location of the warehouse along with the
raw rattan allocation in the warehouse to ensure raw rattan supply for rattan industries.

Creator(s)

• YUNIARISTANTO
• WAHYUDI SUTOPO
• AZIZAH AISYATI

Contributor(s)

-

Publisher

Universitas Kristen Petra; 2010

Language

Indonesian

Category

jou – Journal

Sub Category

-

Source

Jurnal Teknik Industri, Vol. 12, No. 1, Juni 2010, 17-24; Yuniaristanto (NA00404207), Wahyudi Sutopo (NA00404208), Azizah Aisyati (NA00404209)

Subject(s)

• BUSINESS LOGISTICS
• MATERIALS MANAGEMENT

File(s)

• jiunkpe-ns-jou-2010-na00404207-23732-pemodelan-resource1.pdf