Proposed Application of Business Process Re-engineering Concept

  • Ika Malika STIT Pomosda Nganjuk
  • Widhy Wahyani STIT Pomosda Nganjuk
Keywords: Business Process Re-engineering, sugar mill, renewable energy, innovation, production, briquettes, waste blothong, profit. .

Abstract

National sugar production in the new millennium only reached 2.3 million tons per year, while the national sugar consumption reached 4.5 million tons per year. For that reason, so the government should encourage sugar mills to diversify the products immedietly. In producing sugar also generates solid waste such as blothong. This study discusses about the implementation of the concept of Bussiness Process Re-engineering (BPR). BPR concept is used to design the sugar mill bussiness management in order to optimize it’s resources, so it is marketabled. Under researcher observation, Lestari sugar mill, do not optimize in using of waste as second output of sugar production yet. Blothong waste utilization as briquette also help the government in developing new renewable energy that can be optimized. As known that, Lestari sugar mill has not been used blothong waste optimally and this research recommend for designing new business management, which reprocess blothong waste to be used as briquettes in order to increase profit. An outcome from the business management can increase profit as much as Rp 135.615.420.000,00 with the amount of total production cost as much as Rp 95.130.356.000,00 and having profit / gross loss from the bussiness as much as Rp 40.485.064.000,00. The proposal of the design of the business management gained more profit as pointed Rp 156.797. 670.000,00 which is included briquettes blotong revenue. So, the total amount of new business management cost is Rp 95.718.455.000,00 and gaining profit/gross loss as much as Rp 61.079.115.000,00. That achievement was increase as much as 22% from the previous business management.

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Published
2017-10-20
How to Cite
Malika, I., & Wahyani, W. (2017, October 20). Proposed Application of Business Process Re-engineering Concept. INSCIENTECH: Journal of Industrial, Science and Technology, 1(1), 47-53. Retrieved from http://inscientech.org/index.php/ins/article/view/7
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Articles