Introduction
Buddy’s Floor Barn wants to analyze how they are doing at their 18 locations in four regions across their 10 product lines over the last three-quarters. Each Regional Manager has compiled the data for his/her area showing the sales revenue for each of the five product lines (premium flooring) for each of the first three-quarters. The sales got compiled into a Pivot Table Report that has been used to analyze the sales patterns in the different regions for the various flooring products. Multi-attribute decision modeling (MADM) is a tool that gets used in the analysis of data and which aims at objectifying the process of decision making by offering a range of options. MADM refers to a study that is and which acknowledges the multiple attributes are in association with particular choices or actions.
Analysis and Discussion
MADM has been used in this analysis to weigh and score the different characteristics in the case study, and alternative actions have been suggested using a comparative mathematical approach. An objective rating has been used to make an informed decision on actions that would result in the best possible outcome. The MADM model of analysis has been used as it provides proof of making sound decisions that can get presented to the different business stakeholders of Buddy’s Floor Barn company. MADM has not been adopted so it will assist the company’s franchises, brands, and the business itself to gain a competitive edge.
MADM can be altered to bring about a dynamic and exciting element to Buddy’s Floor Barn advisory board and workshops. Additionally, it can be used together with many diverse stakeholders, with each having interests in various components hence, any opportunity for realigning or influencing the model towards the factors that are most relevant to them.
The PIVOT table got synthesized from the data worksheet and has been used to present the information in a simplified version that can be translated easily at a glance. The data in the PIVOT table got condensed from the four different regions and has summarized the sales of the five different products sold over three-quarters of the financial year..
Based on the figures from the table above it is clear that sales differ per region and also per product. The company should focus on maximizing sales based on regional performance. Maple flooring had the highest sales in Buffalo with total sales amounting to 172,448. Atlanta recorded the lowest sales in Maple flooring with a total of 104,712. Atlanta has high sales of Mahogany with total sales of 150427. The company should increase its Mahogany floor product in Atlanta and decrease the Maple floor products. Buffalo on the other hand recorded very low sales of the Oak flooring and therefore quantities of the same should be reduced while Maple flooring should be increased.
The Cherry flooring recorded the highest sales in Boston with total sales of 150027. The lowest Cherry floor sales were those in Seattle with a total of 109066. Boston had relatively high sales of Mahogany and Bamboo at 155195 and 144148 respectively and average sales of Maple and Oak at 114054 and 114681respectively. Seattle recorded average sales of all other products: 121716-Maple, 13549-Bamboo, 157138-Oak, and 127986-Mahogany. Bamboo flooring had the highest sales in Jacksonville at a total of 148383 and the lowest sales in Atlanta at a total of 110117. Oak flooring had the highest sales in Seattle with total sales of 157138 and the lowest sales in Buffalo with total sales of 88375. Mahogany recorded the highest sales in Amarillo with total sales of 164572 and the lowest sales in Columbus with total sales of 74775.
Buddy’s Floor Barn has Bamboo as its best performing product at total sales of 2457628, the Mahogany, and Maple flooring as their second-best performing products at total sales of 2368137 and 2351055 respectively. Cherry flooring products have sales that are less than 50% of the other products. The sales of Cherry flooring should be focused more on Boston than any other region. Oak flooring has the lowest sales in the East region and the highest in the West region. Bamboo sales are higher in the West region and lowest in the Mid-States. Cherry and Bamboo flooring is very popular in the South region with total sales of 670848 and 680419 respectively. The average sales of all flooring are lowest in the Mid-States region followed by the East region and highest in the West region followed by the South region. It implies that the West region offers the most vibrant market for the company’s products.
Conclusion/Recommendation
To maximize sales, Buddy Floor Barn should adjust their product availability based on the different regions. It is evident from the data sheets that the West region is the largest market for the company’s products while the East offers lesser market size. It is also evident that the Bamboo floor is the most popular product while the Cherry floor is the least popular with sales being close to half of those of the Bamboo floor.