Business process reengineering in the inventory management to improve aircraft maintenance operations in the Indonesian Air Force

Abstract

The Indonesian Air Force has utilized computers in its administration as early as 1990. The computers, however, have not yet been optimized to support inventory management in aircraft maintenance operations, especially for the helicopter fleet. The processes for materials procurement to support the maintenance operations still rely heavily on the services of intermediaries'. Even though the Air Force has already adopted the Automatic Logistic Management System (ALMS), this has several weaknesses in supporting the material procurement processes. The objective of this study is to propose the implementation of the Material Requirement Planning (MRP) method to improve inventory management in the Air Force's helicopter fleet. It is hoped that by implementing the MRP, the Air Force can get the right materials in the right amount at the right time without imposing unnecessary costs by minimizing the roles of the intermediaries. The implementation of MRP, however, cannot be done without redesigning the business process in material acquisition and transforming it to an IT-enabled business process. Therefore, this study also discusses the Business Process Reengineering (BPR) concept in order to support the implementation of the MRP.