Route Optimization and Green Logistics With VRP in the Distribution of Pharmaceutical Products From PT DFO Central Warehouse to Branches in Jakarta, Banten, and West Java

Abstract

Tourism destinations require adequate supporting facilities, including healthcare services such as hospitals, clinics, and pharmacies. The availability of pharmaceutical products in these facilities depends on an efficient distribution system. Therefore, optimizing pharmaceutical distribution routes becomes essential to ensure product availability while minimizing operational costs and environmental impacts. This includes providing services at healthcare facilities located in tourist areas such as Banten – Tanjung Lesung and West Java – Pangandaran, which, despite being far from urban centers, can still offer competitive prices and minimize environmental impact. PT DFO, as one of the pharmaceutical distributors, requires operational cost efficiency in running its business. This efficiency aligns with the demand to uphold environmental sustainability principles. Route optimization aims to achieve efficiency in the routes used, consolidate distribution routes between branches, reduce distribution costs, minimize fuel consumption, and optimize vehicle emissions. One of the methods used in this study is the Capacitated Vehicle Routing Problem (CVRP). This method calculates the optimal use of vehicle capacity by combining the required capacities of the routes integrated into inter-branch deliveries. This study resulted in a reduction in delivery frequency of 4 trips (44.44%), a reduction in the number of vehicles used to 1 vehicle per week, and a cost reduction of 30.66% (Rp 4,475,840) in the weekly distribution process. In terms of emission reduction, a decrease in fuel consumption of 17.373 L (8.14%) was achieved, resulting in a reduction of CO2 emissions by 28.7 kg. These findings demonstrate that CVRP can improve operational efficiency and support green logistics practices in pharmaceutical distribution to supporting the tourism sector.