A goal progamming model for 3-Kg LPG distribution system (Case study: Malang Raya, East Java, Indonesia)

Government has conducted an implementation trial for a closed distribution system of 3-kg LPG at Malang municipality on 2009 and extended to Malang regency and Batu municipality on 2010. Several issues on the implementation were the not-optimal distribution pattern and distribution area arrangement that is considered unfair for the stakeholders. This purpose of the research is develop and implement weighted goal programming model for closed 3-kg LPG distribution system from SPBE (bulk loading LPG station) to distributors in the Malang Raya for improving the SPBE utilization, minimizing distance from SPBE's to agents, and minimizing distance from agents to distributors. The resulting solution of the weighted goal programming model shows an equalized SPBE utilization, minimization of travelling distance from each SPBE to each agent and minimization of travelling distance from each agent to each distributor.