PROPOSED INVENTORY MANAGEMENT SYSTEM IN SMALL BUSINESSES TO AVOID STOCK OUT FOR FAST MOVING ITEMS (A CASE STUDY AT TOKO TANI MANDIRI)

Toko Tani Mandiri (TTM) is a retail business that sells poultry, cat and fish feed in Duri City, one of the sub-districts in Bengkalis Regency which has a high enough population density. Operational TTM often experience runs out of stock for some of the products it sells, especially for poultry feed products. Three main poultry feed products are 512V, N544 and Cracked Corn. Run out of those stock potentially losing profits of TTM. Besides that, the frequent absence of those products will indirectly make customers unhappy and switch to other animal feed stores. Of course this is not good for the TTM business in the future. Root cause of the problem is obtained from analyzing using the Fishbone Diagram. From the results of observations and analysis during the research, the problems experienced by TTM occur due to; No accurate recording for sales and purchases each product, No competent cashier on weekends, No suitable storage place and system for reorder products still based on the decision of the owner. By combining 3 important elements, that are; People, Process and Technology that are related to Inventory Management System implementation, TTM will have accurate stock data so that it can avoid out of stock, this data can be used to calculate when the right time is and howmany products to order to make it more economical so that TTM can sell the products with competitive price. This data later could be used to predict the demand for a product in the future and even to develop the TTM business in the future. Keywords: Inventory Management, Ordering system, Poultry Feed, Economic Order Quantity, Deman