MNK - Suplay Chain Management

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Punta, Ery and Sethu, Jeganathan and Dewanto, Titus W. and Hanif, Marwan (2012) MNK - Suplay Chain Management. Project Report. Sekolah Tinggi Manajemen IPMI, Jakarta Selatan. (Unpublished)

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PT. Multi Nitrotama Kimia (MNK), one of the largest producers of Ammonium Nitrate in Indonesia. PT. MNK supplies Ammonium Nitrate (an essential ingredient for explosive materials) and provides explosive services to various mining companies. The demand in the AN is supplied from the two sources, one is from their own manfacturing plant and another is from the direct import. The product cost per tonne from its own manufacturing facility is lower than product cost per tonnes of direct import. One of the sector in Indonesia that grow rapidly an of for MNK product is coal mining sector, with production of marketable coal million ton in 2010, it is expected to grow to 500 million ton in 2016. This report analyzes the different supply and demand history data and provides some insight about the future demand. Manufacturing product is more sensible choice to pursue, however the capacity of existing plant (37,000 tons) cannot meet the total demand, so direct import becomes the main portion (even though the construction of the new plant is almost completed, the total new plant production capacity is 90,000 tons so the total production capacity is around 127,000 tons per annum. Using the time series forecasting method, we concuded that the forecasted volume is around 180,000 188,600 tons per annum, the remaining volume should still be served by importing AN directly from overscas. also discussed briefly about the supply chain management for the same, also discussed about the seasonality of order, inventory turnover and cash conversion cycle, warchouse location, lead time and out of stock issues and raw material sourcing. We also take the consideration of global market trends and macros, micro economical considerations for this mining industry since it plays a major role in the decision making process. We conclude here in our report that PT.MNK should consider expanding their production facilities in order to address the growing local demands while continuing to import to address the sales orders. However, opening a new plant. closer to the distributor point could not be feasible since the raw material for the AN plant is by-product from the Urea manufacturing plant.

Item Type: Monograph (Project Report)
Subjects: H Social Sciences > HC Economic History and Conditions
H Social Sciences > HD Industries. Land use. Labor
H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management
Divisions: Library > GFP (Group Field Project)
Depositing User: Putri Dwi Novia
Date Deposited: 20 Jan 2020 03:22
Last Modified: 20 Jan 2020 03:27

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