The available inventory of raw material is important for a factory. It is proven that without a good management system for inventory of raw material a factory will not be able to produce a product, so that a factory should carry out an inventory management system of raw material. The purpose of writing this final project are to find out of inventory management system of raw material which is applied at PT Chiara Allegra Living Semarang, to describe the procurement, receipt, control and distribution of raw material. The methods of collecting the data were observation, interview, and literature review and the report is written descriptively. It is concluded that Chiara Allegra Living implements the procurement system of raw material which starts from accepting of the Job Order by PPIC then calculating the raw material which needed for production and then Purchasing order the raw material to the Supplier. The receipt system starts from checking and combining the quality of raw materials with the documents. The Control of raw materials in the form of quality control, administrative control and security control carried out by the staff of Warehouse. The distribution system for mahogany wood and veneer depending on the needs of the production, while the method used to distribute the MDF and Plywood is LIFO (Last In-First Out).