ITS Launches Andal App: Innovative Inventory Management Solution for MSMEs
In response to the inventory management challenges faced by many Micro, Small, and Medium Enterprises (MSMEs), the Community Service Team (Abmas) from the Information Systems Department at the Sepuluh Nopember Institute of Technology (ITS) has created the Andal App. This application aims to enhance inventory management practices within MSMEs, which often rely on intuitive but inefficient methods.
Challenges Faced by MSMEs
According to Prof. Mahendrawathi ER ST MSc PhD, head of the Abmas Team, reliance on instinctual methods can lead to significant operational issues, such as running out of popular items or accumulating unsold stock. Such challenges result in capital being unnecessarily tied up, a situation recognized as a common dilemma in supply chain management.
The difficulties faced by MSMEs are further complicated by their limited financial resources, which restrict their ability to optimize inventory cycles. This limitation also impacts purchasing strategies, making it difficult to prioritize essential items.
Features of the Andal App
To address these issues, the Andal App employs an ABC classification method to assist MSMEs in identifying high-revenue items and prioritizing their procurement. The application categorizes items into three groups: Category A for high-priority items, Category B for medium-value items, and Category C for low-value items. Based on this categorization, the app suggests optimal ordering schedules to help businesses minimize both shortages and excess inventory.
Facilitating User Transition
A notable challenge in adopting the application is the need to change the existing habits of MSME owners, who often keep detailed inventories. To facilitate this transition, the Andal App provides users with the option to summarize their transactions at the end of the day instead of requiring real-time entries.
Workshop and Trial Phase
On November 6, the Abmas team held a workshop in Surabaya to demonstrate the Andal App to local MSME owners. The application is currently undergoing a trial phase, with 14 MSMEs participating and providing feedback.
Commitment to Sustainable Development Goals
The development of the Andal App reflects ITS’s commitment to supporting the Sustainable Development Goals (SDGs), particularly those focused on promoting inclusive economic growth and enhancing job quality. The initiative aims to improve the operational efficiency of MSMEs, ultimately contributing to increased revenue generation.
By enabling precise inventory management, the app is designed to empower MSME owners to optimize their business operations, thereby generating significant added value within their enterprises.
(Source: ITS Public Relations)
