Authors : Bachtiar H. Simamora and Desty Natalia
Abstract: The rapid growth of educational toy industry has lead to a fierce competition. PT XYZ is one of the major players in educational toy industry Indonesia currently trying to win the industry. The company needs to develop a good strategy for competitive advantage in winning the competition. The objectives of this study are to calculate the seasonal forecasted demand and develop aggregate production planning for PT XYZ to meet seasonal demand with the lowest cost. The data is gathered through literature review and secondary data directly from the company. The demand data from past 3 years is used to forecast the seasonal demand using multiplicative seasonal model. All of data is analyzed and used to design aggregate planning by using 3 strategies which are chase, level and mixed strategy. The calculation of the cost of each strategy is using manual computation and application POM for Windows. The results of this study show that the mixed strategy is the optimal strategy to meet demand with the lowest cost for PT XYZ.
Bachtiar H. Simamora and Desty Natalia, 2014. Aggregate Planning for Minimizing Costs: A Case Study of PT XYZ in Indonesia. International Business Management, 8: 353-356.