PROCUREMENT MANAGEMENT INTEGRATED PROCUREMENT MANAGEMENT WITH VENDOR MANAGED INVENTORY (VMI) CONCEPT

Abstract

This article discusses the use of the Vendor Managed Inventory (VMI) system in the barging process at PT. Sumber Alfaria Trijaya Tbk., with the goal of increasing the effectiveness of the persediaan management process. By using VMI, employees have the ability to provide goods without interruption at the company's warehouse, which enables more effective inventory control, lowers penyimpanan costs, and speeds up delivery times. This study analyzes distribution and sales data and calculates the Economic Order Quantity (EOQ) to reach the ideal number of transactions. The results indicate that the use of VMI reduces the accuracy of requests, minimizes problems during processing, and lowers the cost of total inventory. In this way, businesses may see the balance between requests and requests, which is very beneficial to customers. It is advised to optimize information technology and SDM training in order to improve VMI performance.