Putera Prawira Primary Author Nofrisel Additional Author I Made Suraharta Additional Author Yosi Pahala Additional Author

The problem of distribution of goods of PT REHAU Indonesia is a problem of Vehicle Routing Problem (VRP) which is the problem of finding an effective and efficient route from a depot to a scattered customer. This research tries to analyze nearest neighbor method in solving the problem. This research will use quantitative method with 7 delivery route as samples involving 30 location points and 900 matrix of distance between locations. Data collection was done by conducting field study, ie observation and tracing of secondary data. This study uses a causal associative method of research that aims to determine the causal relationship (causal) or is influential between two or more variables. The results of this study indicate that the method is able to reduce total mileage by 15% from 1,614 km to 1,372 km or decrease as much as 242 km, reduce the delivery time of 16% or as much as 7 hours 49 minutes, and reduce the cost of delivery as much as 16% or decreased as much Rp 689,718.