Service Level-Based Fertilizer Inventory Management Strategy in South Sulawesi Agricultural Region

Ashar Pramono; Fahri Anwar; Achmad Romadin; Tito Bisma May Willis; Irin Ramdhani

doi:10.59890/ijir.v4i4.172

Authors

Ashar Pramono Universitas Negeri Makassar
Fahri Anwar Universitas Negeri Makassar
Achmad Romadin Universitas Negeri Makassar
Tito Bisma May Willis Institut Teknologi Kalimantan
Irin Ramdhani Universitas Negeri Makassar

DOI:

https://doi.org/10.59890/ijir.v4i4.172

Keywords:

Safety Stock, Reorder Point, ABC Classification, Inventory Management, Fertilizer Distribution

Abstract

This study examines fertilizer inventory management in South Sulawesi under demand volatility and lead time uncertainty. A quantitative approach was applied using Safety Stock (SS), Reorder Point (ROP), and ABC classification based on data from 24 distribution warehouses during October 2024–September 2025. The results show that demand is highly concentrated in Category A warehouses such as GD Takalar, GD PKT Bone, and GD PKT Jeneponto, which require higher stock protection. A 99% service level provides better resilience against stockouts compared to 95%, although it increases inventory cost. The integration of SS, ROP, and ABC classification improves inventory accuracy, reduces shortage risk, and enhances distribution efficiency in regional fertilizer supply chainsThis study examines fertilizer inventory management in South Sulawesi under demand volatility and lead time uncertainty. A quantitative approach was applied using Safety Stock (SS), Reorder Point (ROP), and ABC classification based on data from 24 distribution warehouses during October 2024–September 2025. The results show that demand is highly concentrated in Category A warehouses such as GD Takalar, GD PKT Bone, and GD PKT Jeneponto, which require higher stock protection. A 99% service level provides better resilience against stockouts compared to 95%, although it increases inventory cost. The integration of SS, ROP, and ABC classification improves inventory accuracy, reduces shortage risk, and enhances distribution efficiency in regional fertilizer supply chainsThis study examines fertilizer inventory management in South Sulawesi under demand volatility and lead time uncertainty. A quantitative approach was applied using Safety Stock (SS), Reorder Point (ROP), and ABC classification based on data from 24 distribution warehouses during October 2024–September 2025. The results show that demand is highly concentrated in Category A warehouses such as GD Takalar, GD PKT Bone, and GD PKT Jeneponto, which require higher stock protection. A 99% service level provides better resilience against stockouts compared to 95%, although it increases inventory cost. The integration of SS, ROP, and ABC classification improves inventory accuracy, reduces shortage risk, and enhances distribution efficiency in regional fertilizer supply chains

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