The following is an explanation of the Supply Chain Activity of PT XYZ Before making predictions or requests for goods, first check the stock level in the warehouse. Predictions are based on previous historical data. Once the forecasting and acceptance of demand is done, the next step is to plan the raw material needs and production according to the capacity of the machinery in the factory. Based on the planning of raw material requirements, the purchasing department will order raw materials to the supplier by sending proposals to supplier. Then a purchase order is issued and delivered to suppliers. Supplier will send the raw materials ordered to the company according to the estimated time arrival. If the raw material does not comply with the specification, it will be returned to the supplier to be replaced with a new raw material that meets the specifications or sorted by the suppliers to see and select which raw materials are still acceptable. While the raw material received will be placed in the warehouse waiting for further processing. This raw material will be brought to the production floor to be processed into finished goods by the production unit. Once the raw material is converted