Implementation of Force Majure on Production Costs at PT Jawa Lily Furniture in Probolinggo Regency

Abstract

Constraints are activities that prevent companies from carrying out production activities. Along with the increasingly competitive world economy today, industrial companies are required to be more sensitive in anticipating constraints that occur both internally and externally. These constraints must be considered by the company because they can hinder the production process which has an impact on production costs and sales volume which ultimately causes losses for the company. One tool that can identify a company's constraints is Constraint Theory. This study aims to determine what constraints occur in the production process and the impact of these constraints on production costs.This research uses an internet website, also known as the Digital Research Method (Online Search), and this method involves the use of the internet and digital technology to collect data, analyze information, and produce new results. This research also uses a literature study because it is a literature study. The special characteristic used as a basis for developing research knowledge is that the research deals directly with the text or data presented, not with field data or direct witnesses of the event. Researchers only deal directly with sources that already exist in the library or ready-to-use data, as well as with secondary data used.The impact of these constraints on production costs is the loss of raw material costs and an increase in factory overhead costs.

Keywords: sharia financing; sharia banks; public interest; education; socialization;