Optimizing Small and Medium Enterprises (SMEs) Dimsum Indralaya Profit Using Linear Programming Method: A Case Study of Simplex Method Implementation
Fridha Aprisa Rahayu (a*), Sri Oktavia (b), Venty (c)

Undergraduate Program in Mathematics, Faculty of Mathematics and Natural Sciences, Sriwijaya University, Jalan Raya Palembang - Prabumulih No.KM. 32, Indralaya Indah, Kec. Indralaya, Kabupaten Ogan Ilir, Sumatera Selatan 30862, Indonesia

Abstract

This research focuses on profit optimization for Micro, Small, and Medium Enterprises (SMEs) in the context of Dimsum Indralaya, located in South Sumatra, Indonesia. The study explores the application of Linear Programming, specifically the Simplex method, to improve the production of dimsum, a popular food product. Dimsum Indralaya grapples with challenges related to raw material selection and production decisions, and this research aims to address these issues. Through the utilization of the Simplex method, the research identifies the optimal production quantities for two key dimsum varieties: chicken dimsum and shrimp dimsum. The results indicate that the ideal production quantity for chicken dimsum is 36 portions, while for shrimp dimsum, it is 54 portions. This optimized approach leads to a significant increase in profits, with the maximum profit reaching Rp 1,530,000, as opposed to the previous condition of Rp 1,380,000. As a result, the expected net profit from this enhanced production process ranges from Rp 3,500,000 to Rp 5,000,000 on a monthly basis. This study offers valuable insights into how SMEs like Dimsum Indralaya can effectively employ Linear Programming methods to enhance their operational efficiency and achieve maximum profitability. By optimizing production and resource allocation, SMEs can adapt to the dynamic nature of competitive markets and position themselves to capitalize on future opportunities.In conclusion, this research demonstrates the practical application of Linear Programming, specifically the Simplex method, as a powerful tool for profit optimization within the SME sector.

Keywords: SMEs (Small and Medium Enterprises)- Dimsum Indralaya- Linear Programming- Simplex Method- Profit Optimization.

Topic: Mathematics and Its Applications