OPTIMIZATION OF DISTRIBUTION ROUTES AT PT. XYZ USING THE SAVING MATRIX METHOD

抄録

A major pharmaceutical supplier is crucial in distributing medicines and medical equipment. PT. XYZ, a pharmaceutical distributor in Bandung for 14 years, faces challenges in distribution efficiency due to inefficient routes and high operational costs. This study aims to optimize distribution routes using the saving matrix method with distance and time approaches. The analysis shows that this method improves efficiency by reducing distance, costs, and travel time. The proposed route using the nearest insertion method for distance savings reduces travel by 120.3 km, while the time-based route reduces it by 123.2 km. Cost savings for the distance-based route amount to 27.6%, while the time-based route results in a 31.6% reduction compared to previous costs. These findings demonstrate that optimizing distribution routes can significantly enhance efficiency and reduce expenses for pharmaceutical distribution companies.