Mixed-Integer Linear Programming Model for the Rice Supply Chain in Karawang Regency to Minimize Costs

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Titel: Mixed-Integer Linear Programming Model for the Rice Supply Chain in Karawang Regency to Minimize Costs
Autoren: null Agus Mansur, Annisa Indah Pratiwi, Syafa Thania Prawibowo
Quelle: Jurnal Teknologi dan Manajemen Industri Terapan. 4:993-1006
Verlagsinformationen: Yayasan Inovasi Kemajuan Intelektual, 2025.
Publikationsjahr: 2025
Beschreibung: The rice supply chain in Indonesia plays a vital role in national food security, where efficient distribution ensures price stability and availability in the market. However, the complexity of multi-echelon systems often leads to inefficiencies in procurement, production, and distribution. This study aims to develop a Mixed-Integer Linear Programming (MILP) model to optimize the rice supply chain in Karawang Regency, focusing on cost minimization while integrating environmental and risk considerations. Using dummy data on supply, demand, production, distribution, labor, and emissions, the model was tested with Microsoft Excel Solver. The results show that procurement from farmer groups is the largest cost component (51.24%), followed by production (23.96%) and distribution (23.19%), with a total cost of USD 1,783,113,142. Optimization achieved a 13% cost reduction and a 9% emission reduction compared to non-optimized conditions, while risk assessment identified M2–J2 supply (RPN = 20) and J1 production (RPN = 16) as the most critical hazards. These findings suggest practical implications for Perum Bulog and policymakers, including strengthening procurement planning, optimizing warehouse allocation, and adopting cleaner production technologies to improve both efficiency and sustainability. The novelty of this study lies in integrating hazard-based risk assessment with MILP for a regionally strategic rice supply chain, while simultaneously considering cost efficiency and carbon emission constraints. This provides both theoretical contributions to sustainable supply chain optimization and practical strategies for policy driven food security.
Publikationsart: Article
ISSN: 2829-0038
2829-0232
DOI: 10.55826/jtmit.v4i3.1083
Rights: CC BY NC SA
Dokumentencode: edsair.doi...........cd4af9e21742c4dc7b6dca88780f7b9f
Datenbank: OpenAIRE
Beschreibung
Abstract:The rice supply chain in Indonesia plays a vital role in national food security, where efficient distribution ensures price stability and availability in the market. However, the complexity of multi-echelon systems often leads to inefficiencies in procurement, production, and distribution. This study aims to develop a Mixed-Integer Linear Programming (MILP) model to optimize the rice supply chain in Karawang Regency, focusing on cost minimization while integrating environmental and risk considerations. Using dummy data on supply, demand, production, distribution, labor, and emissions, the model was tested with Microsoft Excel Solver. The results show that procurement from farmer groups is the largest cost component (51.24%), followed by production (23.96%) and distribution (23.19%), with a total cost of USD 1,783,113,142. Optimization achieved a 13% cost reduction and a 9% emission reduction compared to non-optimized conditions, while risk assessment identified M2–J2 supply (RPN = 20) and J1 production (RPN = 16) as the most critical hazards. These findings suggest practical implications for Perum Bulog and policymakers, including strengthening procurement planning, optimizing warehouse allocation, and adopting cleaner production technologies to improve both efficiency and sustainability. The novelty of this study lies in integrating hazard-based risk assessment with MILP for a regionally strategic rice supply chain, while simultaneously considering cost efficiency and carbon emission constraints. This provides both theoretical contributions to sustainable supply chain optimization and practical strategies for policy driven food security.
ISSN:28290038
28290232
DOI:10.55826/jtmit.v4i3.1083