Metris: Jurnal Sains dan Teknologi
Vol. 19 No. 02 (2018): 2018

Proposed Factory Area Location Alternative Selection Based on Multiple Criteria Decision Making Using Analytical Hierarchy Process Method (Case Studi PT. SKI)

Riana Magdalena (Unknown)
Agustinus Silalahi (Unknown)
Su Fendi (Unknown)



Article Info

Publish Date
12 Apr 2021

Abstract

PT. SKI is a manufacturing company engaged in the production of hair and skin beauty products such as hair masks, shampoos, conditioners and others. Demand for beauty products that are increasing every day requires companies to produce more than inventory. One solution is to expand the production area in an increase large-scale production processes. However, the current production area which cannot optimally support this due to the absence of vacant land or expansion of the area that can be carried out. Based on the results of interviews with the head of the production section, the plan to move locations in several alternative places is the right solution for the company. In the specific task studied, the need for this location transfer will be related to multiple decision making taken by the company. One technique to identify these problems is using the Analytical Hierarchy Process or AHP method where this method is a simplification of complex problems that are not structured, strategic, and dynamic into their parts, and organize in a hierarchy. The level of importance of each criterion that supports decision support is relatively compared to other criteria by considering various considerations and then synthesizing to determine criteria that have high priority and play a role in influencing the results of the system. Based on the results, it is found that there are several criteria which plays an important role in the selection of factory location alternatives obtained in the mathematical equation. The first criterion namely Investment and Operations has a value of around 55.84% indicating that the first best alternative location in the sub criteria is land price, land area, expansion and employee salaries (UMR). Continued around 58.47% in the second general criteria, namely facilities with sub criteria of water, electricity, transportation and service which showed the best selection was in the first location alternative and 73.51% in the criteria for ease of licensing and transportation access at the first alternative location. By comparing the three data multiplication matrices and assessment criteria, it was found that a large comparison of the three general criteria had a total of 60.91% of the first alternatives being the priority of PT. SKI to choose the location of the new factory area, which is located in Padurenan, Gunung Sindur, Bogor, West Java.

Copyrights © 2018






Journal Info

Abbrev

metris

Publisher

Subject

Decision Sciences, Operations Research & Management Education Engineering Industrial & Manufacturing Engineering

Description

Jurnal Metris is published 2 (twice) a year. Since Volume 14 in 2013, Jurnal Metris has been published in June and December. The contents of the journal discuss research results in the field of industrial engineering. Jurnal Metris provides a place of publishing for sharing the new findings from ...