PT. XYZ received an order from a small caliber munition (SCM) 5.56 from the Ministry of Defense of the Republic of Indonesia as many as 1.1 billion grains for two years or 550 million grains per year. But to produce a SCM 5.56 every year, PT. XYZ is constrained by a production capacity of only 415.9 million grains SCM 5.56 annually. Based on calculations there is a shortage of 134.1 million SCM 5.56 each year. These constraints are due to the not optimal production system implemented by PT. XYZ so that the productivity of the production system is not optimal. To solve this problem, an internal policy model is needed by improving the special production system of SCM 5.56. It consists of improvements in production line layout, supply chain system, Product Breakdown Structure (PBS) analysis and critical path analysis (CPA). By applying such analysis the resulting production time for 1,000 grains is 132,374 minutes or 2,206 hours. But those results need to be tested by testing the normal distribution statistical hypothesis. It turned out that the test results were PT. XYZ is able to fulfill i

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