Production Optimization Strategy with Implementation of Six Sigma in Increasing Company Profitability (Case Study of PT XYZ)
This study aims to examine the production optimization strategy using the implementation of six sigma and SWOT analysis (strength, weakness, opportunity, and treatment) in increasing production productivity and its impact on the achievement of the company’s profitability ratios at PT XYZ. The sample used in this study is PT XYZ which is located in the KIIC Industrial Estate, Karawang, West Java. The research method used is qualitative research, the type of approach used is explanatory research with associative research approach. The sampling technique used is purposive sampling with non-probability sampling method. While the analysis technique used is descriptive analysis using six sigma analysis and SWOT analysis. The results of the research are (1) the determinant factors that can cause the production target not to be achieved such as the frequency of production shut down is quite high, the demand forecasting method is not precise, the material planning system is not precise and there are frequent revisions in the target policy from the marketing side; (2) solutions that can be used such as building a good work environment, improving work communication patterns, providing job training to employees, rearranging efficient working hours, conducting regular monitoring and evaluation, giving rewards to employees who have good work performance , and focus on the company’s strategy and objectives; (3) implementation of six sigma and SWOT analysis can be used as a strategy in optimizing production as well as increasing the company’s profitability ratio.