Application of Cluster Analysis for Warehouse Stock

APPLICATION OF CLUSTER ANALYSIS IN MODELING OF WAREHOUSE

STOCK

doc. Ing. Peter Trebuňa, PhD. Ing. Jana Halčinová

Technická univezita v Košiciach, SjF, KPIaM Němcovej 32, 042 00 Košice

e-mail: peter.trebuna@tuke.sk e-mail: jana.halcinova@tuke.sk

Ing. Jaromír Markovič, PhD.

Slovak Legal Metrology,

Banská Bystrica, Slovakia slm@slm.sk

Abstract

Cluster analysis has wide application, the present article deals with the use of cluster analysis in the field of groups (clusters) of stocks. For the use of cluster analysis in supply have input on the marketability of selected products of a company. Based on the used degree of similarity and cluster analysis methods have been created of clusters in the form dendrograms and then assembled matrix of groups (clusters) of stocks.

Key words: cluster analysis, dendrogram, degree of similarity, stock

INTRODUCTION

Cluster analysis belongs to multivariate mathematical-statistical methods. The aim of cluster analysis is to create clusters based on the similarity in compliance the conditions that the similarity of objects within the cluster is the largest, and similarity clusters as small as possible. Similarity is a fundamental idea in the formation of clusters of stocks.

1. INPUT DATA MATRIX OF STOCK

Information about the marketability of individual items of white goods (Tab. 1) of selected stores were basic data for the clustering process.

Tab. 1 Input data matrix

 [pic 1]

The first step in this process is cluster analysis stocks of goods based on columns ie. by type of goods. Graphical result is a dendrogram (Fig. 1), in which have been made cuts in the diferent distance.

[pic 2]

Fig. 1 Cuts in dendrogram of stocks

Based on heuristic (subjective) selection approach clusters are the optimum solutions for clustering considered following 2.clusters:

1 .cluster - formed products 1.2. refrigerators, washing machines,

2. cluster - made up of other products 3, 4, 5, 6, 7 built-in multifunction oven, combined cookers, dishwashers, upright freezer and clothes dryers.