Implementation Of Economic Production Quantity (EPQ) Method in Controlling Brick Production at UD SM Edi- Mardiana Serdang Bedagai

Abstract

achieving its goals, the company will face certain obstacles so that the company
must have good management. Because without good management the company will experience
a shortage of production (shortage) or excess production (over stock) which results in
losses for the company. UD. SM Edi Mardiana Serdang Bedagai is a business that produces
bricks which is experiencing problems in the form of excess production inventory. Therefore,
a policy is needed to control the amount of production by adjusting consumer needs so as not
to cause losses for the company. One method that can be used is the Economic Production
Quantity (EPQ) method which can determine the optimal production level, the optimal time
interval to minimize inventory costs. From the results of calculations using the EPQ method,
the optimal level of brick production for each production period is 4.326.589.75 seeds with
an interval of 6,79 months and the total cost of procuring production with the EPQ method is
Rp313.532.065,9