IJoICT (International Journal on Information and Communication Technology)
Vol. 7 No. 2 (2021): December 2021

Multivariate Markov Chain Model for Sales Demand Estimation in a Company

Annisa Martina (UIN Sunan Gunung Djati Bandung)



Article Info

Publish Date
01 Jan 2022

Abstract

Estimation of the number of demands for a product must be done correctly, so that the company can get maximum profit. Therefore, this study discusses how to estimate the amount of sales demand in a company correctly. The model that will be used to estimate sales demand is the Multivariate Markov Chain Model. This model can estimate the future state by observing the present state. The model requires parameter estimation values ​​first, namely the transition probability matrix and the weighted Markov chain, where in previous studies an estimation of the transition probability matrix has been carried out, so that in this study we will continue to estimate the weighted Markov chain parameters. This model is compatible with 5 data sequences (product types) defined as product 1, product 2, product 3, product 4, and product 5, with 6 conditions (no sales volume, very slow-moving, slow-moving, standard, fast moving, and very fast moving). As the result, the state probability for product 1, product 2 and product 3 in company 1 are stationary at state 6 (very fast moving), product 4 and product 5 are stationary at state 2 (very slow moving).

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Journal Info

Abbrev

ijoict

Publisher

Subject

Computer Science & IT

Description

International Journal on Information and Communication Technology (IJoICT) is a peer-reviewed journal in the field of computing that published twice a year; scheduled in December and ...