Paper Title
Performance Management in Crude Palm Oil Industry using Analytical Hierarchy Process
Abstract
Decision making has become a routine activity carried out by the production manager in a Palm Oil Mill
company. One of the problems that will arise is the decline in production quantity. Therefore, this study is intended to help
the company to determine the optimal amount of crude palm oil production and to determine the order of priority factors
influencing the decline in production quantity and also apply the Analytical Hierarchy Process (AHP) method in the
production planning of the company to assist and facilitate the decision-makers in making decisions. The data input are
obtained from documentations such as inventories, demand and production data. In addition, AHP is adopted as a method for
decision making and the data are obtained from interviews and questionnaire. The result of this study is the total production
and inventories of Crude Palm Oil had become optimal and stable by the year 2014; profit is higher than previously; the plot
data also showed that the total production in 2014 was not stable because it was still decreasing. The main factors affecting
the decline of total production are internal factors. The Order of priority of the internal factors is factor capital, labour, raw
materials and technology & machines.
Keywords - Fuzzy Logic, Decision Making, Production, Planning, Crude Palm Oil