Understanding the Dematel Method

Oct 13, 2025 by vinooalluri.com 41 views

Reveals the relationship between sales volume and market share to the distribution center: Key to Improve Supply Chain Performance

In today's fast-paced business environment, companies are constantly seeking ways to improve their performance and stay ahead of the competition. One key area of focus is the optimization of the supply chain, with the distribution center playing a crucial role in this process. The distribution center is responsible for receiving, storing, and shipping products to customers, making it a critical component of the supply chain. In this article, we will discuss the relationship between sales volume and market share with a distribution center and how it can be a determining factor in achieving company efficiency and productivity.

The analysis used in this study is based on data from five distribution centers: Jambi, Medan, Aceh, Riau, and Padang. The Pearson linear dematel method and correlation were applied to get a comprehensive understanding of the relationship between sales volume, market share, and distribution center. The results of the analysis show that the distribution center in Medan requires more attention and strategy focused on maximizing its performance.

Priority Center Distribution: Determine the Optimal Strategy

The selection of the priority of the distribution center in the supply chain is a crucial step to ensure the flow of materials and information that is efficient. The dematel method, which combines four perspectives of balance (financial, internal, customer, and learning & growth), helps in determining priorities based on relevant criteria. The results of the analysis show that Medan, Aceh, Padang, Riau, and Jambi are ranked at the top in a row in terms of interests. This means that the distribution center in Medan requires more attention and strategy focused on maximizing its performance.

Understanding the Dematel Method

The dematel method is a decision-making tool that helps in determining priorities based on relevant criteria. It combines four perspectives of balance, which are:

Financial: This perspective focuses on the financial performance of the distribution center, including revenue, profit, and return on investment.
Internal: This perspective focuses on the internal processes of the distribution center, including inventory management, logistics, and information systems.
Customer: This perspective focuses on the customer needs and expectations, including product quality, delivery time, and customer service.
Learning & Growth: This perspective focuses on the learning and growth of the distribution center, including training, development, and innovation.

Determining Priorities

The dematel method helps in determining priorities based on relevant criteria. The results of the analysis show that Medan, Aceh, Padang, Riau, and Jambi are ranked at the top in a row in terms of interests. This means that the distribution center in Medan requires more attention and strategy focused on maximizing its performance.

Relationship between sales volume and market share: synergy for growth

Furthermore, this research analyzes the relationship between sales volume and market share using Pearson linear correlation. The results show a significant positive correlation (> 0.5) in each distribution center. This indicates that Increased sales volume directly is directly proportional to the growth of market share. This finding is very important for the company, because it indicates that the focus on effective sales strategies can encourage increased market share, as well as improving the performance of the distribution center.

Understanding the Relationship between Sales Volume and Market Share

The relationship between sales volume and market share is a critical factor in determining the success of a company. The results of the analysis show a significant positive correlation between sales volume and market share in each distribution center. This means that increased sales volume directly contributes to the growth of market share.

Strategic Implications

The findings of this research have strategic implications for the company. Some steps that can be taken include:

Focus on Priority Distribution Center: Prioritizing Medan Distribution Center as the main focus point, with a special strategy to improve its efficiency and effectiveness.
Increasing Sales Volume: Implementing a focused sales strategy to encourage the growth of sales volume in each distribution center, so that it has a positive impact on market share.
Distribution Management Optimization: Utilizing analysis data to optimize distribution management, such as increasing inventory governance, logistics networks, and information systems.

Conclusion

Analysis of the relationship between sales volume, market share, and distribution center provide a clearer picture of the key factors that affect the performance of the supply chain. By understanding this relationship, companies can formulate appropriate strategies to achieve business goals, improve efficiency, and maximize growth potential.

Future Research Directions

This research provides a foundation for future research in the area of supply chain management. Some potential areas of research include:

Investigating the impact of distribution center performance on supply chain efficiency
Developing a framework for prioritizing distribution centers based on relevant criteria
Analyzing the relationship between sales volume, market share, and distribution center in different industries

By continuing to research and analyze the relationship between sales volume, market share, and distribution center, companies can gain a deeper understanding of the key factors that affect supply chain performance and develop strategies to improve efficiency and maximize growth potential.

Frequently Asked Questions

In our previous article, we discussed the analysis of the relationship between sales volume, market share, and distribution center in supply chain management. In this article, we will answer some frequently asked questions related to this topic.

Q: What is the significance of the distribution center in supply chain management?

A: The distribution center is a critical component of the supply chain, responsible for receiving, storing, and shipping products to customers. It plays a crucial role in ensuring the efficient flow of materials and information.

Q: How does the dematel method help in determining priorities?

A: The dematel method combines four perspectives of balance (financial, internal, customer, and learning & growth) to help determine priorities based on relevant criteria. It provides a comprehensive understanding of the distribution center's performance and helps in identifying areas for improvement.

Q: What is the relationship between sales volume and market share?

A: The results of the analysis show a significant positive correlation between sales volume and market share in each distribution center. This means that increased sales volume directly contributes to the growth of market share.

Q: What are the strategic implications of the findings?

A: The findings have strategic implications for the company, including prioritizing the Medan Distribution Center, increasing sales volume, and optimizing distribution management.

Q: How can companies use this research to improve their supply chain performance?

A: Companies can use this research to develop strategies to improve their supply chain performance by:

Focusing on the priority distribution center
Increasing sales volume
Optimizing distribution management

Q: What are the potential areas of research in this field?

A: Some potential areas of research include:

Investigating the impact of distribution center performance on supply chain efficiency
Developing a framework for prioritizing distribution centers based on relevant criteria
Analyzing the relationship between sales volume, market share, and distribution center in different industries

Q: How can companies continue to improve their supply chain performance?

A: Companies can continue to improve their supply chain performance by:

Conducting regular analysis of their distribution center's performance
Developing strategies to improve efficiency and effectiveness
Continuously monitoring and evaluating their supply chain performance

By understanding the relationship between sales volume, market share, and distribution center, companies can develop strategies to improve their supply chain performance and maximize growth potential.

Conclusion

The analysis of the relationship between sales volume, market share, and distribution center provides a clearer picture of the key factors that affect supply chain performance. By understanding this relationship, companies can formulate appropriate strategies to achieve business goals, improve efficiency, and maximize growth potential.