Open AccessModelling Raw Material Policy in the Palm Sugar Industry While Considering Sustainability Aspects: A Dynamic System Approach
Author(s) -
Maria Krisnawati,
Anita Mustikasari,
Niko Siameva Uletika,
Tigar Putri Adhiana,
Endro Sutrisno
Publication year - 2019
Publication title -
iop conference series. materials science and engineering
Language(s) - English
Resource type - Journals
eISSN - 1757-899X
pISSN - 1757-8981
DOI - 10.1088/1757-899x/598/1/012011
Subject(s) - raw material , sugar , sustainability , palm , sugar industry , sugar production , business , production (economics) , supply chain , agricultural engineering , environmental economics , pulp and paper industry , agricultural economics , economics , engineering , marketing , microeconomics , food science , chemistry , ecology , physics , organic chemistry , quantum mechanics , biology
The availability of raw materials is one important factor in managing the supply chain to support the sustainability of the palm sugar industry. The number of raw materials in the palm sugar industry is influenced by various aspects stemming from the environment, economy and the coconut trees themselves. These aspects are interconnected and interact with each other to support the availability of raw materials in the palm sugar industry. This study is conducted in Purbalingga, Indonesia. The dynamic system analysis of palm sugar inventory will be compared to the demand for palm sugar. Inventory and demand analysis is used to influence policy decisions on how to manage the raw material production area. A model for raw material policy in the palm sugar industry is developed using the dynamic system. Model divided into a demand model and a model of neera coconut inventory and backlog demand. The model in this research can be used to simulate the palm sugar industry in a broader system, because validation for this model gives a small value error of ̂ and MAPE.