STUDY THE POSSIBILITY SELECT LOCATION OF INCREASING THE WAREHOUSE SPACE FOR CASSAVA CHIPS. CASE STUDY OF ANIMAL FEED FACTORY, CP CAMBODIA COMPANY Articles

Abstract

CP Cambodia Company is a company that produces animal feed for both sales and internal use. It is necessary to have a strategy for planning purchasing and storage, as well as managing costs at every point. The problem that the company is planning to solve is There is enough storage space for cassava chips to be used in production throughout the year. in order not to affect production costs If the cassava chips are not enough for production and must be purchased during the off-season or use other raw materials instead Resulting in higher production costs. This is because the price of cassava chips during the off-season is high. This is because the amount of produce will be less. And the price of substitute raw materials will also be high.

      Therefore, this independent study aims to select a suitable location that can increase the storage area of ​​cassava raw materials and can be used as a guideline to reduce the company's production costs. The solution used is to compare the investment in terms of investment by using the investment that gives a better return to find the most suitable location to increase the warehouse for storing cassava. The result is that investing in building the warehouse by yourself gives a better return than renting. The quantitative consideration tool used in selecting the construction location requires collecting data related to the actual cassava procurement that occurred in 2018-2022 of CP Cambodia Co., Ltd. and applying the obtained data to the Center of Gravity Method to consider the most suitable location. As for the qualitative tool in selecting the construction location, it is necessary to collect data from experts at each level, from the operational level to the management level, dividing the items into 30%-70% and applying the obtained data to the Factor Rating Method by using the Analytic Hierarchy Process to help find the weight of each factor obtained from the data obtained from the executives. In addition, financial consideration tools are Internal Rate Of Return, Net Present Value, and Payback Period. The conclusion of all 3 tools indicates which location is most suitable for constructing additional cassava storage warehouses. The research results from this report are in the same direction for all 3 methods. Location 2 is located at Pailin Factory, which is adjacent to Chanthaburi Province, Thailand. It is considered the most suitable area for constructing cassava storage warehouses to support animal feed production throughout the year. It can also be further developed to increase opportunities for using warehouses in other areas to generate additional income.