Analyzing of ERP Utilization to Assess Production and Inventory Efficiency
DOI:
https://doi.org/10.54099/ijmba.v4i2.1501Keywords:
ERP , Production Efficiency , Inventory Management,Abstract
This paper aims to assess production and inventory efficiency after the ERP system transition from Odoo to INSYS at PT. Mulia Cipta Rasa, a food manufacturing company in Indonesia, by applying lean manufacturing indicators. It further analyzes the obstacles encountered during the transition, how these obstacles affect production and inventory efficiency, and provides strategic recommendations for improvement..
Methodology/approach – This research used a qualitative descriptive method. Data were collected through interviews with relevant informant, supplemented by observations and internal company documentation. Analysis was conducted using lean manufacturing waste indicators..
Findings – It was found that. There is no increase in production and inventory efficiency after changing the INSYS ERP system, this is due to several obstacles such as inter-departmental dependencies, INSYS ERP system limitations, adaptation to different systems, lack of training and socialization, human error and employee resistance, mismatch between minimum purchase quantity (MOQ) and actual needs, not integrated with supplier systems that support real-time tracking.
Novelty/value – While numerous studies have focused on ERP success factors, few have explored post-ERP system migration production and inventory efficiencies in the food manufacturing industry and the barriers affecting them. This paper offers contextual insights into ERP-related efficiencies and provides strategic direction specific to the dynamics of perishable goods production.
References
Alamsyah, A., Hakim, N., & Hendayani, R. (2022). Blockchain-Based Traceability System to Support the Indonesian Halal Supply Chain Ecosystem. Economies, 10(6). https://doi.org/10.3390/economies10060134
Ali, M. A., Milani, F., & Dumas, M. (2025). Data-Driven Identification and Analysis of Waiting Times in Business Processes: A Systematic Literature Review. Business and Information Systems Engineering, 67(2), 191–208. https://doi.org/10.1007/s12599-024-00868-5
Anderson, M., Anderson, E., & Parker, G. (2022). Operations Management For Dummies (2nd ed.). John WIley & Sons, inc.
Azis, A. M., & Irjayanti, M. (2024). Strengthening The Accuracy and Visibility of Supply Chain Management Data in The Coffee Industry. Cogent Business and Management, 11(1). https://doi.org/10.1080/23311975.2024.2380811
Dewi, S. K., Utama, D. M., & Rohman, R. N. (2021). Minimize Waste on Production Process Using Lean Concept. Journal of Physics: Conference Series, 1764(1). https://doi.org/10.1088/1742-6596/1764/1/012201
Febrianto, T., & Soediantono, D. (2022). Enterprise Resource Planning (ERP) and Implementation Suggestion to the Defense Industry: A Literature Review. Journal of Industrial Engineering & Management Research, 3(3), 1 - 16. https://doi.org/10.7777/jiemar.v3i3.278
Fernandi Wijaya, S., Wiratama, J., Ervina, A., & Egeten, J. (2023). Modeling the Readiness Measurement for Enterprise Resource Planning System Implementation Success. Jurnal nasional teknik elektro dan teknologi informasi, 12(3), 159-166. https://doi.org/10.22146/jnteti.v12i3.7699
Gebeyehu, S. G., Abebe, M., & Gochel, A. (2022). Production Lead Time Improvement Through Lean Manufacturing. Cogent Engineering, 9(1). https://doi.org/10.1080/23311916.2022.2034255
Geminarqi, E. R., & Purnomo, H. (2023). Improving Operational Management Efficiency in the Food and Beverage Industry: A Systematic Literature Review. Open Access Indonesia Journal of Social Sciences, 6(5), 1143–1149. https://doi.org/10.37275/oaijss.v6i5.184
Habib, M. A., Rizvan, R., & Ahmed, S. (2023). Implementing Lean Manufacturing for Improvement of Operational Performance in a labeling and Packaging Plant: A case study in Bangladesh. Results in Engineering, 17(17). https://doi.org/https://doi.org/10.1016/j.rineng.2022.100818
Harb, A., Azouri, M., Chaaya, L. B., & Akoury, C. (2022). Strategic Assessment of Factors that Create a Resistance to Change During The Implementation of Enterprise Resource Planning (ERP) Systems. The case of Lebanese organizations. Arab Economic and Business Journal, 14(2), 18–30. https://doi.org/10.38039/2214-4625.1015
Ikatrinasari, Z. F., & Kosasih, K. (2021). Waste Elimination to Increase Productivity in Small Medium Industries Kembangan West Jakarta. ICCD, 3(1), 308–311. https://doi.org/10.33068/iccd.vol3.iss1.367
Irjayanti, M., Azis, A. M., Susilawati, & Sobari, A. R. (2025). Transformative Innovations Igniting Coffee Supply Chain Process Efficiency. Journal of Innovation and Entrepreneurship, 14(1). https://doi.org/10.1186/s13731-025-00486-9
Jawad, Z. N., & Balázs, V. (2024). Machine learning-driven optimization of enterprise resource planning (ERP) systems: a comprehensive review. Beni-Suef University Journal of Basic and Applied Sciences, 13(1), 4. https://doi.org/10.1186/s43088-023-00460-y
Kanchi, P., Goel, Er. O., & Gupta, Dr. P. (2024). Data Migration Strategies for SAP Ps: Best Practices and Case Studies. International Research Journal of Modernization in Engineering Technology and Science. https://doi.org/10.56726/irjmets60925
Katuu, S. (2020). Enterprise Resource Planning: Past, Present, and Future. New Review of Information Networking, 25(1), 37–46. https://doi.org/10.1080/13614576.2020.1742770
Kulkarni, M. A., & More, H. V. (2022). Operations and Supply Chain Management. Lulu Publisher.
Kumar, N., Shahzeb Hasan, S., Srivastava, K., Akhtar, R., Kumar Yadav, R., & Choubey, V. K. (2022). Lean Manufacturing Techniques and its Implementation: A review. Materials Today: Proceedings, 64, 1188–1192. https://doi.org/10.1016/j.matpr.2022.03.481
Limon, G. Q., & Sarker, T. H. (2023). Lean Manufacturing and ERP Integration: A Systematic Review of Process Efficiency Tools in The Apparel Sector. American Journal of Scholarly Research and Innovation, 02(01), 104–129. https://doi.org/10.63125/mx7j4p06
Mahmood, F., Khan, A. Z., Shah, S. A., & Adil, M. (2023). Post ERP implementation issues and challenges: exploratory case studies in the context of Saudi Arabia. Kybernetes. 53(12), 5749-5774. https://doi.org/10.1108/K-06-2022-0914
Marinelli, M., Deshmukh, A. A., Janardhanan, M., & Nielsen, I. (2021). Lean manufacturing and Industry 4.0 combinative application: Practices and perceived benefits. IFAC-PapersOnLine, 54(1), 288-293. https://doi.org/10.1016/j.ifacol.2021.08.034
Munyaka, J. B., & Yadavalli, V. S. S. (2022). Inventory management concepts and implementations: a systematic review. South African Journal of Industrial Engineering, 33(2), 15-36. https://doi.org/10.7166/33-2-2527
Naibesi, A., Fanggidae, R. P., Aman, D. K., & Nursiani, N. P. (2024). Analisis Kebijakan Jam Kerja Lembur (Overtime) dan Keseimbangan Kehidupan Kerja (Work Life Balance) Karyawan pada CV. Sukses Jaya Abadi, Kabupaten Madiun, Provinsi Jawa Timur. GLORY Jurnal Ekonomi dan Ilmu Sosial, 5(6), 1167-1174. https://doi.org/10.35508/glory.v5i6.16589
Puspithasari, N., Fadhilah, N., & Hayati, N. (2023). Analisis Dan Evaluasi Implementasi Sistem ERP (Enterprise Resources Planning) Pada PT Petrokopindo Cipta Selaras. Darmabakti: Jurnal Pengabdian dan Pemberdayaan Masyarakat, 4(2), 255-264. https://doi.org/10.31102/darmabakti.2023.4.2.255-264
Rahmawati, M. I., & Subardjo, A. (2023). Pemanfaatan Blockchain dalam Konsep Sistem Rantai Pasok Pangan Halal: Studi Eksplorasi. Jurnal Arastirma, 3(2), 395. https://doi.org/10.32493/arastirma.v3i2.31972
Rajab, S., Afy-Shararah, M., & Salonitis, K. (2022). Using Industry 4.0 Capabilities for Identifying and Eliminating Lean Wastes. Procedia CIRP, 107, 21–27. https://doi.org/10.1016/j.procir.2022.04.004
Saleem, G. (2022). The Impact of Lean Manufacturing on Organizational Performance through a Moderating Role of ERP: Lean Manufacturing and ERP. South Asian Management Review, 1(2), 51-65. https://doi.org/10.57044/samr.2022.1.2.2212
Sarkar, A., & Fu, B. X. (2022). Impact of Quality Improvement and Milling Innovations on Durum Wheat and End Products. In Foods. 11(12) https://doi.org/10.3390/foods11121796
Setianandha, A., Teknologi, U., Ari, Y., & Al-Faritsy, Z. (2024). Meminimalisir Waste pada Proses Produksi Sarung Tangan Golf Menggunakan Lean Six Sigma. Jurnal Sains Student Research, 2(4), 64–77. https://doi.org/10.61722/jssr.v2i4.1942
Srivastava, A., & Dashora, K. (2022). A Fuzzy ISM Approach for Modeling Electronic Traceability in Agri-Food Supply Chain in India. Annals of Operations Research, 315(2), 2115–2133. https://doi.org/10.1007/s10479-021-04072-6
Sutarman. (2017). Dasar-Dasar Manajemen Logistik. PT. Refika Aditama. ISBN:9786026322524.
Tarigan, Z. J. H., Siagian, H., & Jie, F. (2021). Impact of Enhanced Enterprise Resource Planning (ERP) on Firm Performance Through Green Supply Chain Management. Sustainability (Switzerland), 13(8). https://doi.org/10.3390/su13084358
Ünal, Ö. A., Erkayman, B., & Usanmaz, B. (2023). Applications of Artificial Intelligence in Inventory Management: A Systematic Review of the Literature. In Archives of Computational Methods in Engineering. Springer Science and Business Media B.V. 30(4), pp. 2605–2625. https://doi.org/10.1007/s11831-022-09879-5
Wulan, T. S., Novika, P. W., Nurvianti, E., & Putra, F. A. (2024). Impact of ERP System Implementation on Operational and Financial Efficiency in Manufacturing Industry. Journal of Economic Education and Entrepreneurship Studies, 5(3). https://doi.org/https://doi.org/10.62794/je3s.v5i3.4328
Zhao, B., & Tu, C. (2021). Research and Development of Inventory Management and Human Resource Management in ERP. Wireless Communications and Mobile Computing, 2021. https://doi.org/10.1155/2021/3132062
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2025 International Journal of Management and Business Applied
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
This work is licensed under a 