IMPLEMENTATION OF AN INVENTORY CONTROL TOOL IN PT. XYZ TO MONITOR THE MATERIALS THAT NEED TO BE RESTOCK

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By

Renjana Setyoandara Wibisono 112-12-113

BACHELOR’S DEGREE In

INDUSTRIAL ENGINEERING

ENGINEERING AND INFORMATION TECHNOLOGY

SWISS GERMAN UNIVERSITY EduTown BSD City

Tangerang 15339 Indonesia

August 2016

Revision after Thesis Defense on 19^th of July 2016

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Renjana Setyoandara Wibisono STATEMENT BY THE AUTHOR

I hereby declare that this submission is my own work and to the best of my knowledge, it contains no material previously published or written by another person, nor material which to a substantial extent has been accepted for the award of any other degree or diploma at any educational institution, except where due acknowledgement is made in the thesis.

Renjana Setyoandara Wibisono

____________________________________________

Student Date

Approved by:

Dr. Tanika D. Sofianti

____________________________________________

Thesis Advisor Date

Ir. Setijo Awibowo, M.M.

____________________________________________

Thesis Co-Advisor Date

Dr. Ir. Gembong Baskoro, M.Sc.

____________________________________________

Dean Date

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Renjana Setyoandara Wibisono ABSTRACT

IMPLEMENTATION OF AN INVENTORY CONTROL TOOL IN PT. XYZ TO MONITOR THE MATERIALS THAT NEED TO BE RESTOCK

By

Renjana Setyoandara Wibisono Dr. Tanika D. Sofianti, Advisor Ir. Setijo Awibowo, M.M., Co-Advisor

SWISS GERMAN UNIVERSITY

Inventory control is controlling the materials movement to fulfill the requirements.

The materials can from the direct and indirect materials. the indirect materials are the materials that cannot be calculated according to the bill of materials. Indirect materials need safety stocks, so the requirements can always be fulfilled, means it need the control and monitoring of their levels. To control the movement of the materials, each department have roles to control and information that need to be shared. PT XYZ is an automotive assembler company, the company need a tool to control the indirect materials inbound and outbound and control its stock. This research is to have the tool that will be a web-based program because to share the information throughout the department of planning, production, and logistics. In developing and implementing the program itself, the RUP methodology is used to guide in doing this research with having four phases and activities that support the research. The result is the program itself have been successful to fulfilled the user requirements. The program shows the real time information for the levels of the

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Renjana Setyoandara Wibisono materials and also the inbound and outbound of the materials for the user to monitor its levels.

Keywords: Inventory Control, Indirect Materials, Web Application, RUP Methodology

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Renjana Setyoandara Wibisono DEDICATION

I dedicate this works for my parents, all teachers that ever teach me, my loved one, my friends, and future more successful me

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Renjana Setyoandara Wibisono ACKNOWLEDGEMENTS

Firstly, I would like to thank GOD, Allah SWT that guide me through tough times, and give me peace in handle tough situations. Then I would like to thank my parents, that give me support, time, and money throughout writing this thesis that they are the reason I drive myself to be successful.

I would like to thank Dr. Tanika D. Sofianti and Ir. Setijo Awibowo, M.M., as advisor and co-advisor that guide me in writing and constructing this thesis, that are always there for me giving me guidance, motivation, and mentoring from the beginning of this project until the very end.

I would like to thank PT. XYZ that giving me the project, time and place to support this thesis, especially Mr. Wawan, Mr. Subandi, and Mr. Bernat, that helps me making and finishing this project, and shout out to Amiruddin that accompany me throughout this whole process in PT. XYZ, and the other coworkers in PT XYZ that help me for the completion of this project.

Last but not least, my friends in SGU batch 2012 for the fun and excitement, and especially my SGU Industrial Engineering batch 2012 friends that started this journey together from day one until now, and shout out to Mrs. TDS advisories Pradipta, Anindita, Erick, that always consulted with Mrs. TDS together since the first meeting and know the blood and tears that I have done for this Thesis, then Arief, Wilie, Alfie, Gio, Adit, Alia, Otje and Raka, that also share the same pain and suffering in making this thesis, and special shout out to my friends Hendio, Fikka, and Nadia. that supports me with outside activities so I can have a little refreshing time. And finally Thank you every other person that ever helps me in making this thesis.

God bless you beautiful people.

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Renjana Setyoandara Wibisono TABLE OF CONTENTS

Page

STATEMENT BY THE AUTHOR ... 2

ABSTRACT ... 3

DEDICATION... 6

TABLE OF CONTENTS ... 8

LIST OF FIGURES ... 14

LIST OF TABLES ... 19

CHAPTER 1 - INTRODUCTION ... 20

1.1 Background ... 20

1.2 Research Problem ... 21

1.3 Research Objectives ... 22

1.4 Significance of Study ... 22

1.5 Research Scope ... 22

1.6 Expected Result ... 22

CHAPTER 2 - LITERATURE REVIEW ... 23

2.1 Rational Unified Process Methodology... 23

2.2 Supply Chain Management ... 27

2.3 Inventory Management ... 30

2.4 Inventory Control ... 38

2.4.1 Reorder Point ...38

2.4.2 Inventory Monitoring ...40

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2.5.1 Hardware and Software ...42

2.5.2 Data and Database ...43

2.6 UML Diagrams ... 45

2.6.1 Use Case Diagram ...45

2.6.2 Sequence Diagram ...45

2.6.3 Activity Diagram ...46

2.6.4 Class Diagram ...47

2.7 Data Flow Diagram ... 48

2.7.1 DFD Context Level ...49

2.7.2 DFD Level 0 ...50

2.7.3 DFD Level 1 ...51

CHAPTER 3 - RESEARCH METHODOLOGY ...56

3.1 Inception Phase ...59

3.1.1 Initiate Planning ...60

3.1.2 Tools and Environment preparation ...60

3.1.3 Problem Identification ...60

3.1.4 Data Acquisitions ...60

3.1.4.1 Interview and Expert Opinion ...61

3.1.4.2 Literature Review...61

3.1.5 Model the business workflow ...62

3.1.6 List the requirements ...62

3.1.7 Report the inception phase ...62

3.2 Elaboration Phase ...62

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3.2.1 Tools and Environment of elaboration phase are prepared ...64

3.2.2 Specify the Requirements ...64

3.2.3 Model the Requirements ...64

3.2.4 Design and Formulate Architecture ...64

3.2.5 Report Elaboration phase task ...64

3.3 Construction Phase ...65

3.3.1 Tools and Environment of the construction phase are prepared ...66

3.3.2 Setting up the Program ...66

3.3.3 Comparison of the Program and User Requirements ...66

3.3.4 Configuration and Customization of the Program ...66

3.3.5 Alpha testing ...66

3.4 Transition Phase ...67

3.4.1 Tools and Environment for the transition phase are prepared ...68

3.4.2 Implement Inventory Data to the Application ...68

3.4.3 User Acceptance Test ...68

3.4.4 User Deployment and Tutorial ...68

3.4.5 Report the research ...69

CHAPTER 4 - REQUIREMENTS AND DEVELOPMENT ...70

4.1 Requirements ...70

4.1.1 Inventory Management framework ...70

4.1.2 Business Workflows ...71

4.1.3 Current Situation and the requirement of the inventory control tools ...75

4.1.4 User Requirements List ...77

4.1.5 Stakeholder of the Software ...80

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4.1.7 The Data Flow Diagram ...82

4.1.7.1 Context Diagram ...83

4.1.7.2 Level 0 DFD ...84

4.1.7.3 Level 1 DFD ...85

4.1.8 Sequence inside the Application ...87

4.1.8.1 Showing Stock Items ...87

4.1.8.2 Edit and delete inventory ...88

4.1.8.3 Low Stock materials are shown ...89

4.1.8.4 Add New Materials ...90

4.1.8.5 Dispatching Materials ...91

4.1.8.6 Purchasing Menu ...93

4.1.8.7 Worst Case Scenarios ...94

4.1.8.8 Excel download and Email Report ...96

4.2 Configuration of the Application ...99

4.2.1 Backend of the Application ...99

4.2.2 Comparison of the Software and the Requirements ...101

4.3 Interface of the Application ...104

4.3.1 Stock list of the materials ...104

4.3.2 Add new Materials ...105

4.3.3 Low and Out of Stock Materials ...106

4.3.4 Dispatch Materials ...107

4.3.5 Add New Dispatch ...107

4.3.6 Order Menu ...108

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4.3.7 New Order ...109

4.3.8 Restock items...111

4.3.9 Dashboard ...111

CHAPTER 5 - TESTING AND RESULTS ...113

5.1 Alpha Testing ...113

5.1.1 Add New Materials...113

5.1.2 Deleted Materials...115

5.1.3 Dispatch Materials ...117

5.1.3.1 Dispatch is failed ...118

5.1.3.2 Dispatch is successful ...119

5.1.3.3 Dispatch Making the item Low Stock ...121

5.1.4 Purchasing orders ...123

5.1.4.1 Add New Order ...123

5.1.4.2 Worst Case Scenario ...130

5.1.5 Email and Excel Download ...132

5.2 User Acceptance ...135

5.3 Data Results ...139

5.3.1 User Login ...139

5.3.2 Stock Items of PT. XYZ ...139

5.3.3 Low Stock in PT. XYZ ...140

5.3.4 Dispatches in PT. XYZ...142

5.3.5 Purchase Orders in PT. XYZ ...142

5.3.6 Email Report ...143

5.3.7 Excel Download ...143

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6.1 Conclusion ...144

6.2 Recommendation for Future Research...145

GLOSSARY...147

REFERENCES ...148

APPENDICES ...151

APPENDIX A - CONTACT REPORT ...152

APPENDIX B – MANUAL BOOK ...166

APPENDIX C – CUSTOMIZE SCRIPTS ...192

CURRICULUM VITAE ...195