Analysis of replacement and selection of machines using dynamic program and AHP methods

Abstract

CV. Do'a Sepuh is a rice mill company. This factory often experiences problems in the cost of engine maintenance which increases every year. Therefore, planning actions must be taken in the form of replacement and selection of new, more economical machines. This study aims to make a model of engine replacement decisions to minimize the expectation of total costs, calculate the time (years) that is appropriate to make changes using the Dynamic Programming method. As well as making decisions on the use of new machines using the Analytical Hierarchy Process (AHP) method. Previously, a Focus Group Discussion I (FGD I) was conducted to determine which machines would be chosen and determine the engine selection criteria. Furthermore, Focus Group Discussion II (FGD II) was carried out to calculate the operating costs of new machines, revenue for new machines, the remaining number of new machines, and filling out questionnaires. The results obtained were the decision to replace diesel engines in the first year. The engine chosen, for the selected diesel engine is machine 1 (Yanmar TS 230 R).