ANALYSIS OF COMPARATIVE VALUE ADDED IN SMALL FIRMS PROCESSING POULTRY PRODUCTS

Abstract

Rendang is traditional minang food, West Sumatra, Indonesia. The raw materials of rendang are beef and spices. Nowadays, rendang is produced from other raw materials, such as chicken/duck eggs (which is called ‘Rendang Telur’) or meat from duck (‘which is called Rendang Suir Itik’). The objective of this research was to analyse and compare the Value Added through processing of poultry products into “Rendang Telor” “or “Rendang Suir Itik”. The performance of Small Firms producing those products can be measured from the achieved value added . Most of the performance is measured by financial ratio analysis, ratio of profitability (such as ROA, ROI, ROE, etc.). In the present study, the performance of the firm is measured by value added resulting from product processing. The measurement of value added used Value Added (VA). Value added was the difference between output and input (OUT – IN). Output (OUT) is revenue from operational of firm and Input (IN) is All of cost that can be earn revenue, example cost of manufacturing but exclude direct labour. This research method uses descriptive and comparative analyses, which will be conducted on small firms producing rendang telur and rendang suir itik. The research data, obtained from the small firm’s financial statements and field research which will be analysed using comparative analysis. The results of this research are value added rendang suir (63,49% ) given higher percentase than rendang telur ( 36,37%), and break even point (BEP) rendang itik is 180 pack (each pack is 0.25kg) or 39,98% that’s  lower than rendang telur 346 pack or 56,66%