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  • Group 6: Chandra, Febi, Fredy, Rosita, Yulianto: Decision Analysis Group Assignment Business Location Selection

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    Yulianto Muchsinin
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    The group is evaluating potential locations for a new logistics company serving consumer goods distribution in the Jabodetabek area. They identified five location alternatives: MM 2000 Cibitung Industrial Estate, Jababeka Cikarang Industrial Estate, Pulogadung Industrial Estate, Cibinong Center Industrial Estate, and Cilandak Commercial Estate. The group will use a composite performance index method to evaluate the locations based on three criteria: warehouse rental cost, proximity to principals and customers, and infrastructure. They have constructed a decision matrix to score each alternative on the criteria based on research into factors like access roads, traffic, facilities, and security at each location.

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    2.Select Location Site

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    The group is evaluating potential locations for a new logistics company serving consumer goods distribution in the Jabodetabek area. They identified five location alternatives: MM 2000 Cibitung Industrial Estate, Jababeka Cikarang Industrial Estate, Pulogadung Industrial Estate, Cibinong Center Industrial Estate, and Cilandak Commercial Estate. The group will use a composite performance index method to evaluate the locations based on three criteria: warehouse rental cost, proximity to principals and customers, and infrastructure. They have constructed a decision matrix to score each alternative on the criteria based on research into factors like access roads, traffic, facilities, and security at each location.

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    3 views11 pages

    Group 6: Chandra, Febi, Fredy, Rosita, Yulianto: Decision Analysis Group Assignment Business Location Selection

    Uploaded by

    Yulianto Muchsinin
    The group is evaluating potential locations for a new logistics company serving consumer goods distribution in the Jabodetabek area. They identified five location alternatives: MM 2000 Cibitung Industrial Estate, Jababeka Cikarang Industrial Estate, Pulogadung Industrial Estate, Cibinong Center Industrial Estate, and Cilandak Commercial Estate. The group will use a composite performance index method to evaluate the locations based on three criteria: warehouse rental cost, proximity to principals and customers, and infrastructure. They have constructed a decision matrix to score each alternative on the criteria based on research into factors like access roads, traffic, facilities, and security at each location.

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    of 11

    DECISION ANALYSIS GROUP ASSIGNMENT BUSINESS LOCATION SELECTION

    IPMI Executive Class Sept 2012

    Group 6 : Chandra,Febi,Fredy,Rosita,Yulianto

    OUR BUSINESS
    Build a Logistic Service Company for Consumer Goods Distribution in JABODETABEK Area Our services cover warehousing and distribution services from principal to the first layer customers (eg. modern channel, traditional channel)

    In our business model, we decided to focus on the logistic management system and have light investment on other factors such as : Renting our warehouses in industrial parks Focus on dry goods Outsourcing the transportation services (vehicles, drivers)

    OUR BUSINESS

    Potential Clients & Their Manufacturing Sites

    DECISION CRITERIAS
    Top 3 Key Factors on Selecting Our Business Location are : Proximity to Principals and Customers Infrastructure (e.g., access road, loading docks, environment security) Warehouse Rental Cost

    LOCATION ALTERNATIVES

    OUR LOCATION ALTERNATIVES


    MM 2000 Cibitung Industrial Estate JABABEKA Cikarang Industrial Estate Pulogadung Industrial Estate Cibinong Center Industrial Estate Cilandak Commercial Estate

    EVALUATION METHOD
    METHOD : COMPOSITE PERFORMANCE INDEX (CPI)
    WHY : Heterogeneous Value of Criteria

    OUR DECISION MATRIX


    CRITERIAS ALTERNATIVE WAREHOUSE RENTAL COST (IDR in m2/ month)*** 50000 38000 52500 90000 32500 0.4

    PROXIMITY *

    INFRASTRUCTURE**

    MM 2000 Cibitung Jababeka Cikarang PuloGadung Cilandak Cibinong WEIGHT OF CRITERIA

    2 1 3 3 2 0.2

    3 2 1 3 2 0.4

    * Proximity ** Infrastructure *** Source BKPM 2012

    : 1 = Far, 2 =Moderate, 3 =Near : 1 = Poor, 2 = Moderate, 3 = Good

    OUR DECISION MATRIX


    Infrastructure Scaling Logic
    ALTERNATIVE MM 2000 Cibitung Jababeka Cikarang PuloGadung Cilandak Cibinong ACCESS ROAD Good Good Very Good Very Good Poor CRITERIAS TRAFFIC Very Good Poor Poor Very Good Good FACILITY Very Good Very Good Very Good Very Good Very Good SECURITY Good Good Poor Good Good ORDINAL SCALE 3 2 2 3 2

    ALTERNATIVE ACCESS ROAD MM 2000 Cibitung Jababeka Cikarang PuloGadung Cilandak Cibinong 2 3

    CRITERIAS TRAFFIC FACILITY 3 SECURITY 2.00 ORDINAL SCALE 2.5

    2
    3 3 1

    1
    1 3 2

    3
    3 3 3

    2.00
    1.00 2.00 2.00

    2
    2 2.75 2

    OUR DECISION MATRIX


    Computation Result
    CRITERIAS ALTERNATIVE WAREHOUSE RENTAL COST (IDR in m2/ month) 65.00 85.53 61.90 36.11 100.00 0.4 VALUE RANK

    PROXIMITY
    200 100 300 300 200 0.2

    INFRASTRUCTURE
    300 200 200 300 200 0.4

    MM 2000 Cibitung

    186.00 134.21 164.76 194.44 160.00

    2 3 4 1 5

    Jababeka Cikarang
    PuloGadung Cilandak Cibinong WEIGHT OF CRITERIA

    * Proximity ** Infrastructure *** Source BKPM 2012

    : 1 = Far, 2 =Moderate, 3 =Near : 1 = Poor, 2 = Moderate, 3 = Good

    OUR DECISION

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