Implementation of Economic Order Quantity (EOQ) for Inventory Efficiency Embroidery Fabric Production Raw Materials Songket UD. Niar Medan

Inventory control is a very important action in calculating the optimal amount of inventory levels required. Inventory of raw materials is one of the factors in the production process. Lack of raw materials will result in delays in the production process, otherwise excess raw materials will result in swelling storage costs and other costs. This research is the application of the Economic Order Quantity (EOQ) method. And using the Lilliefors Normality Test to determine the normality of the data. From the calculations generated by the EOQ method in this study, the total cost of raw material inventory according to the company UD. Niar is Rp 122.321.434,59. Meanwhile, according to EOQ Rp85.457.924,29. And there is a difference of Rp36.863.510,3 of Total Inventory Cost, so that the savings that can be made are 30,14% of the cost of raw material inventory according to UD. Niar Medan.