Paper #238
Evaluation of Used Car Showroom Network Using D-CFLP-NR Considering Customer Preference through Huff Model
Presenting author: Riza Nabil Harjito
Session: O10
Abstract
This study evaluates a network of five used-car showrooms operated by CV ABC using the Dynamic Capacitated Facility Location Problem without Relocation together with the Huff Model. Demand for 2026 was forecast from 36 months of historical sales and distributed across 13 demand zones according to showroom attractiveness and distance. The model minimizes annual fixed and transportation costs while satisfying demand and branch-capacity constraints. The optimal configuration retains the Mangga Dua, Bintaro, and Bekasi branches and closes the Kemayoran and Pantai Indah Kapuk 2 branches. This configuration reduces total annual cost from IDR 6.906 billion to IDR 3.143 billion, representing a 54.49% saving, while maintaining full demand fulfilment. Sensitivity analysis of demand and the Huff parameters a and b indicates that the selected configuration remains stable under the tested parameter variations, although a 30% demand increase exceeds the available capacity.