Determining Priority Factors for Executing of Reverse Logistics in Palm Oil Industry of Indonesia

Abstract

As the country's largest palm oil producer in the world, Indonesian palm oil production is still encounter political barriers or non-tariff economy of several countries. Sustainable development policies have a role to overcome these obstacles. The generation of solid waste and liquid waste from Indonesian palm oil processing factories tends to be increased. To overcome the problem, Indonesia must be able to implement a sustainable supply chain with the concept of reverse logistics, which focuses on reduction, reuse, and recycling areas. The research method used is a quantitative method with data collection by distributing web-based questionnaires to experts in the palm oil industry in Indonesia with samples that are adjusted and match the Fuzzy VIKOR technique (Visekriterijumsko Kompromisno) and Fuzzy TOPSIS technique (Technique for Order Preference by Similarity to Ideal Solution). A web-based questionnaire was developed for data collection, which was then distributed to thirty experts. From the comparison results between Fuzzy VIKOR and Fuzzy TOPSIS, there are almost similarities in the Reverse Logistics options, only different in the first and second options. For Fuzzy VIKOR, the first option is Reuse, while for Fuzzy TOPSIS, the first option is Repair. As for the results of the third to fifth options, there is no difference between Fuzzy VIKOR and Fuzzy TOPSIS, namely, Refurbishment, Recycling, and Remanufacturing.