CHAPTER 4: RESULT AND DISCUSSION

4.1 Flow of Inventory in PT PJB UBJO&M PLTU REMBANG

In the inventory department, has six employees that divided based on their task, one

person in the monitoring staff, four employees to process data, and one person as a supervisor.

Inventory is the part that will record all the materials needed by the company. The first process is

to receive data requests from the user; the user will register the request, and then it will be given

to monitoring staff. The requests will be entered into the system; from monitoring, the requested

file will be given to the Inventory Control Supervisor for inclusion to the SILOG (System Input

Logistic), which will be given a PR (Purchase Requisition) number, if the request does not have

a PR number. The request is not will be processed. After the supervisor, the request will be given

and distributed to four workers in the inventory to enter the request into the system, such as

cataloging, checking, changing catalogs, determining EEP (Engineering Estimated Price), and

others. These requests will be given to workers, according to the supervisor. After the request is

finished, all the data is taken care of. Then the request will be given to the inventory supervisor

to check whether the data processed is correct or not. If it is correct, the requested file will be

signed by a supervisor, then a logistics manager, and approved by the General Manager. If the

requested file has been signed, the request will then be given to the monitoring staff again. After

the monitoring process, the request will be given to the procurement department to process the

desired material.

PO (Purchase Order) is a request that will be used in the purchase of items has a price

value of 10 million and above. The process is carried out if the request is in the form of a PO,

then the process is as stated previously. A list of materials in the report is a list of materials in

Maximo or Ellipse; it can also be called a catalog. If this report does not include a cost value, it
means that the material is new. So do not have an average cost. Besides, this company also uses

a Framework Contract that is used in the case of work to be carried out repeatedly with precise

specifications. Still, the volume and time of the order cannot be determined yet. It can also be

used to bind the provision of consulting services within a specific time to provide assistance

where the time has not yet been determined. For material that the framework contract will be

easier to process than the material that does not have a framework contract.

4.2 Flow of Warehouse in PT PJB UBJO&M PLTU REMBANG

In the company, the warehouse department is divided into three parts, namely:

4.2.1 Reception

At the reception, the warehouse staff receives physical material stock. Check

administrative requirements as required in the contract. Acceptance can be done partially, the

material stock is checked by the contract carried by the supplier who brings the stock

material orders to the warehouse by completing the administration as required in the contract.

The warehouse prints the Minutes of inspection of items to be signed by the item's inspector

team. The items inspection team checks the material stock, whether it matches the

description required in the contract. If the items received are by the order, minutes of receipt

of items are signed with the note: ACCEPTED. If the material items do not match the order,

the item's inspection team decides that minutes of receipt of items are signed with the note:

REJECTED. The material stock returned to the supplier; then, the warehouse staff enters the

item receipt information at Maximo.

The warehouse staff also places stock material in the warehouse according to the

storeroom and bin location listed at Maximo. The warehouse staff provides identification of
stock material by the item name and description listed at Maximo. Each month the reception

will ask the procurement department what material items will be ordered. If the supplier is

late sending the requested material, it will be reprimanded. Besides, this department will also

make an official report if the items ordered have arrived. This department will prepare a

report about the price to be paid.

4.2.2 Spending & Return

If the user requires material items, the process starts from the Operation/Maintenance

technician/supervisor checking whether the requested item has been registered in the item

master. Then the Operation/Maintenance technician/supervisor submits the request for items

through the work plant material or material request. Approval of material demand by

Operation/Maintenance Manager and assistant manager controlling operations. Then,

Inventory control and warehouse check the item reservation list at Maximo. If the current

balance is greater than or equal to the reservation quantity, the warehouse prepares the

requested material immediately, ready to be taken by Operation/Maintenance

technician/supervisor just need to mention the WO number that requires the items. Inventory

control and warehouse print proof of items picking. Inventory control, warehouse, and

Operation/Maintenance technician/supervisor sign picking slips as proof of items taking.

Inventory control and warehouse enter items collection transactions in the warehouse by the

signed packing slip. If the current balance is smaller than the quantity reservation, inventory

control, and warehouse reorder items.

For the process of returning material items. The user carries the material to be

returned, completes the return form with information: the item number, description, quantity,

material condition (item can be used, the item cannot be used, repairable, and
 unrepairable/waste). The warehouse staff reviews the return form provided by the user. The

user submits the material to be returned to the warehouse. Warehouse staff checks the

condition of material returned by the user, matched to the information contained in the return

form. If it matches the material with the information on the return form, the warehouse signs

the return form, and the form will be submitted to the user as evidence. Staff will enter the

return transaction to Maximo with a return type, and according to material conditions (item

can be used, an item cannot be used, repairable, and unrepairable/waste).

4.2.3 Storage

This part will make the bin location for the storage of items. Then, if the item arrives,

it will be labeled to know the storage, specifications, and amount. Besides, this part also

monitors every item that exists. The amount will be calculated and matched with the system

(ellipse) whether or not the number of items is following the data in the ellipse. Then, if there

is an item that is not by the system, it will be questioned to the parties concerned. If the

system is down, manual data will be recorded, and then it will be informed to the inventory

in at least 2x24 hours. Then this storage section will also make and determine the place to

store material. For items whose return storage will be distinguished from items similar to

other items.

4.3 Software System Used in PT PJB UBJO&M PLTU REMBANG

This company uses two software (systems) that will process the inputting of data for all

activities of items and services. Starting from inputting ROP-EOQ, inputting material data

(specifications, quantity, etc.), monitoring items. Both of the software have the same system; it is

just that why to use two software because the material for PLN and PJB are distinguished.
Ellipse is for processing and storing PJB data, while Maximo is for PLN data. Both of this

software will be a reference for monitoring all activities in PT PJB. Maximo is an Enterprise

Asset Management application that has functions for operation, maintenance, and disposal of

assets owned by a company. Maximo is not only used to maintain assets but has more features

than that.

4.4 Catalog System in PT PJB UBJO&M PLTU REMBANG

The catalog is the naming of items that have specifications. So when a company wants to

restock items, in this catalog, the staff can see the specifications needed by the company. For

example, on a bolt, the bolt will be cataloged according to its forming material, size, color, brand

name, and so forth. The catalog will be stored in a web application (ellipse). If the item already

cataloged, the company wants to restock the item directly to the division to be processed

immediately. If the catalog is not yet registered, a catalog will be made on the material. Not all

catalogs are made; only items that are quickly used up will be cataloged so that it is quick to

process. Then, items that do not run out fast will not be cataloged. Catalogs that have been

registered can be changed if indeed the material or items needed are not appropriate. For

example, on the size, color, and brand. Well, if the material that has been cataloged will have a

catalog number to indicate if the material has been recorded to the system.

4.5 Inventory Policy in PT PJB UBJO&M PLTU REMBANG

In addition to processing requests, the inventory department also makes inventory

policies. For ROP-EOQ reports, will be made every six months or every semester. In the ROP-

EOQ report, there are four types of reports, namely the list of items based on ABC Analysis,

Material Recommendations, Framework Contract Material Recommendations, and the last is a

determine the ROP-EOQ based on the previous semester's data using estimation, for example,

the last semester required five oil drums. Then for the next semester, it is estimated that it

requires 5 or 7 oil drums by the agreement. So the calculation is not adjusted to the existing

formula. Then the determination of items by the ABC Analysis is determined when there is a

workshop/meeting with SCM members. The inventory have a task to find out why the items are

classified in categories A, B, or C because the user/staff knows what is done in the field and the

items needed. The ellipse will record its ROP-EOQ if the material is time to restock, a system

will display a warning to remind the users and inventory staff to make a request form for restock

material.

In this company uses forecasting calculations for one year and uses data from previous

years. However, the supply of these items will still be fulfilled according to user requests. So the

company will do the forecasting in the form of funds. Then the inventory division and warehouse

division are interrelated. So they will work together, but the obstacle is sometimes inventory and

warehouse miss-communication or data incompatibility between the two. At present, this cannot

be handled because data collection is still done manually, and sometimes if someone needs an

item, the person is not to the user but goes directly to the warehouse. Which means that it has not

been entered into the software that governs it. It could be said if PT. PJB UBJO & M

REMBANG uses a pull system. Because the operation process will begin with a request from the

user to do the process. That can minimize the inventory so that there are not many items in the

warehouse. It will be a problem if the system and physical material in the warehouse have a

difference in items.