Analysis of the labor, capital and machine production factors on micro-scale apple juice production in Batu City

Production factor is a resource that used in process of creating or product adding value so it covers everything needed on production activities. The purpose of this study was to determine effect of production factors i.e. labor, capital and machine technology on micro scale of apple juice production in Batu City. Fuzzy Analytical Hierarchy Process (FAHP) method will be used to determine the most affect factors on apple juice production activities. FAHP method is used in this study because it is suitable with complex problems on production activities and reduces the subjectivity of experts in determining the relationship between the factors of production studied. This research was conducted at the micro scale apple juice business which is still operating in Batu City and uses 4 experts who are the apple juice owners. The results of the study shows that the most affect production factors are capital (0.46), labor (0.32) and machine technology (0.22), while the sub-criteria which affect production factors are quantity of capital needed (0.2254), financial management performed (0.1553), labor productivity (0.1040), machine capacity (0.1001), labor development activities (0.0816), sources of capital ( 0.0794), labor competency (0.0736), machine sophistication level (0.0605), quantity of machine (0.0594) and quantity of labor (0.0592).