The Selection of the Logistics Distribution Center Location Based on MCDM Methodology in Southern and Eastern Region in Serbia
DOI:
https://doi.org/10.31181/oresta190247mKeywords:
location selection problem, logistics distribution center, MCDM, AHP, WASPASAbstract
Location selection for the logistics distribution center is often one of the most critical elements in a supply chain’s management success. Decision making in location selection domain is a complex process due to the fact that a wide range of diverse criteria, stakeholders and possible solutions are embedded into this process. This paper focuses on the application of some multi-criteria decision-making (MCDM) approaches for the logistics distribution fruit center location selection in the Southern and Eastern Serbia region. An Analytic Hierarchy Process (AHP) and a Weighted Aggregated Sum-Product Assessment (WASPAS) have been implemented in this process for evaluation and location selection.
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References
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Baker P., (2008), The design and operation of distribution centres within agile supply chains, Int. J. Prod. Econ., 111, 27–41.
Burnaz S., Topcu Y., (2006), A multiple-criteria decision-making approach for the evaluation of retail location, Multi-criteria decision-making, 67–76.
Chakraborty S., Zavadskas E.,K., Antucheviciene J., (2015), Application of WASPAS method as a multi-criteria decision-making tool, Economic computation and economic cybernetics studies and research.
Chang E., Li H., Yu L., (2005), The Analytic Network Process (ANP) Approach to location Selection: A Shopping Mall Illustration; Construction Innovation, 83–97.
Chen C.I., Yuan T.W., Lee W.C., (2007), Multi-criteria fuzzy optimization for locating warehouses and distribution centers in a supply chain network, Journal of Chemical Engineering, 38, 393–407.
Chondhary D., Shankar R., (2012), An steep-fuzzy AHP-TOPSIS framework for evaluation and selection of thermal power plant location: A case study from India, Energy, 510–521.
Chou T.Y., Hsu C.L., Chen M.C., (2008), A fuzzy mult-criteria decision model for international tourist hotels location selection, International Journal of Hospitality Management, 293–302.
Daganzo C.F., (1996), Logistics System Analysis, Berlin: Springer Verlag.
Drezner Z., Hamacher H., (2002), Faculty Location: Application and Theory, Berlin: Springer.
Farahani R., Hekmatfar M. (2009), Facility location: Concepts, Models, Algorithms and Case Study, Heidelberg: Physica–Verlag.
Farahani R., SteadiSeifi M. S., Asgari N. (2010), Multiple Criteria Facility Location Problems: A Survey, Applied Mathematical Modelling, 34, 1689–1709.
Fierak S., Bienczak M., Kruszynski M., (2009), Multiple criteria optimization of the Park and Ride location problem in the Poznan metropolitan areas, Rosnowko, June 17-20, 7th Scientific – Engineering Conference on Efficient reduction of congestion in the cities.
Gutjahr W.J., Dzubur N., (2015), Bi – objective bi-level optimization of distribution center locations considering user equilibria, Transportation Research Part E, 85, 1–22.
Hashemkhani Zolfani S., Aghdaie M., Derakhti A., Zavadskas E.K., Morshed Varzaudeh M., (2013), Decision-making on business issues with foresight perspective; an application of new hybrid MCDM model in shopping mall location, Expert Systems with Applications, 7111–7121.
Kazemi A., Amiri M., (2017), Selecting Shopping Center Site Using MCDM Techniques, International Conference on Education, E-Governance, Law and Business, 2017, Dubai.
Kengpol A., Rontlaoug P., Tuominen M., (2013), A decision support system for selection of solar power plant location by Applying fuzzy AHP and TOPSIS: an empyreal study, Journal of Software Engineering and Applications, 470–481.
Korpela J., Lehmnsvara A., Nisonen J., (2007), Warehouse operator selection by combining AHP and DEA methodologies, International Journal of Production Economics, 108, 135–142.
Madić M., Nedić B., Radovanović M., (2015), Poslovno inženjersko odlučivanje primenom metoda višekriterijumske analize, Fakultet inženjerskih nauka u Kragujevcu (in Serbian).
Owen S., Daskin M. (1998), Strategic facility location: A review, European Journal of Operational Research, 111, 423–447.
Ozcan T., Celebi N., Esnaf S., (2011), Comparative analysis of multi – criteria decision making methodologies and implementation of a warehouse location selection problem, Expert Systems with Applications, 38, 9773–9779.
Parkih P.J., Meller R.D., (2008), Selecting between batch and zone order picking strategies in a distribution center, Transportation Research Part E, 44, 696–719.
Petrović G., Sekulić V., Madić M., Mihajlović J., (2018), A study of multi-criteria decision-making for selecting suppliers of linear motion guide, Facta Universitatis, 14(1), 1–14.
Pupavac D., Baburić M., Baković I., (2014), Logistic distribution centers – business success factor of trading companies, Business Logistics in Modern Management, 14th International Scientific Conference – Osijek, Croatia.
Rao C., Goh M., Zhao Y., Zheng J., (2015), Location selection of city logistics centers under sustainability, Transportation Research Part D, 36, 29–44.
Saaty T.L., (1977), A scaling method for priorities in hierarchical structures, Journal of Mathematical Psychology, 15(3), 234–281.
Saaty T.L., (1980), The Analytic Hierarchy Process, New York: McGraw-Hill.
Sanayei A., Mousavi S., Yazdankhah A., (2010), Group Decision making process for supplier selection with VIKOR under fuzzy environment, Expert Systems with Applications, 24–30.
Saparauskas J., Zavadskas E.K., Turskis Z., (2011), Selection of facade’s alternatives of commercial and public buildings based on multiple criteria, International Journal of Strategic Property Management, 15(2), 189–203.
Statistical Office of the Republic of Serbia, http://www.stat.gov.rs/en-US, Accessed on 12.07.2019.
Stević Ž., Vesković S., Vasiljević M., Tepić G., (2015), The selection of the logistics center location using AHP method, 2nd logistics International Conference in Belgrade, 21–23 May.
Tomić V., Marinković D., Marković D., (2014), The Selection of logistics Center location Using Multi-criteria decision making Comparison: Case Study of the Balkan Peninsula, Acta Polytechnics Hungarias vol. 11, No 20, 97–113.
Van Thai V., Grewal D., (2005), Selecting the Location of Distribution Centre in Logistics Operations: A Conceptual Framework and Case Study, Asia Pacific Journal of Marketing and Logistics, 17, 3–24.
Viera J.G.V., Toso M.R., Ramos da Silva J.E.A., Ribeiro P.C.C., (2017), An AHP – based framework for logistics operation in distribution centers, Int. J. Production Economics, 187, 246–259.
Wang X., Triantaphyllon E., (2008), Ranking irregulatities when evaluating alternatives by using some ELECTRE methods, The International Journal of Management Science, 36, 45– 63.
Zak J., Weglinski S., (2014), The selection of the logistics center location based on MCDM/A methodology, Transportation Research Procedia, 3, 555–564.
Zavadskas E.K., Turskis Z., Antucheviciene J., Zakarevicius A., (2012), Optimization of weighted aggregated sum product assessment, Electronics and Electrical Engineering, 122(6), 3–6.
http://www.lokalnirazvoj.org/sr/books/details/23, Figure 1. Southern and Eastern Serbia region’s districts, Accessed on 12.06.2019.
Baker P., (2008), The design and operation of distribution centres within agile supply chains, Int. J. Prod. Econ., 111, 27–41.
Burnaz S., Topcu Y., (2006), A multiple-criteria decision-making approach for the evaluation of retail location, Multi-criteria decision-making, 67–76.
Chakraborty S., Zavadskas E.,K., Antucheviciene J., (2015), Application of WASPAS method as a multi-criteria decision-making tool, Economic computation and economic cybernetics studies and research.
Chang E., Li H., Yu L., (2005), The Analytic Network Process (ANP) Approach to location Selection: A Shopping Mall Illustration; Construction Innovation, 83–97.
Chen C.I., Yuan T.W., Lee W.C., (2007), Multi-criteria fuzzy optimization for locating warehouses and distribution centers in a supply chain network, Journal of Chemical Engineering, 38, 393–407.
Chondhary D., Shankar R., (2012), An steep-fuzzy AHP-TOPSIS framework for evaluation and selection of thermal power plant location: A case study from India, Energy, 510–521.
Chou T.Y., Hsu C.L., Chen M.C., (2008), A fuzzy mult-criteria decision model for international tourist hotels location selection, International Journal of Hospitality Management, 293–302.
Daganzo C.F., (1996), Logistics System Analysis, Berlin: Springer Verlag.
Drezner Z., Hamacher H., (2002), Faculty Location: Application and Theory, Berlin: Springer.
Farahani R., Hekmatfar M. (2009), Facility location: Concepts, Models, Algorithms and Case Study, Heidelberg: Physica–Verlag.
Farahani R., SteadiSeifi M. S., Asgari N. (2010), Multiple Criteria Facility Location Problems: A Survey, Applied Mathematical Modelling, 34, 1689–1709.
Fierak S., Bienczak M., Kruszynski M., (2009), Multiple criteria optimization of the Park and Ride location problem in the Poznan metropolitan areas, Rosnowko, June 17-20, 7th Scientific – Engineering Conference on Efficient reduction of congestion in the cities.
Gutjahr W.J., Dzubur N., (2015), Bi – objective bi-level optimization of distribution center locations considering user equilibria, Transportation Research Part E, 85, 1–22.
Hashemkhani Zolfani S., Aghdaie M., Derakhti A., Zavadskas E.K., Morshed Varzaudeh M., (2013), Decision-making on business issues with foresight perspective; an application of new hybrid MCDM model in shopping mall location, Expert Systems with Applications, 7111–7121.
Kazemi A., Amiri M., (2017), Selecting Shopping Center Site Using MCDM Techniques, International Conference on Education, E-Governance, Law and Business, 2017, Dubai.
Kengpol A., Rontlaoug P., Tuominen M., (2013), A decision support system for selection of solar power plant location by Applying fuzzy AHP and TOPSIS: an empyreal study, Journal of Software Engineering and Applications, 470–481.
Korpela J., Lehmnsvara A., Nisonen J., (2007), Warehouse operator selection by combining AHP and DEA methodologies, International Journal of Production Economics, 108, 135–142.
Madić M., Nedić B., Radovanović M., (2015), Poslovno inženjersko odlučivanje primenom metoda višekriterijumske analize, Fakultet inženjerskih nauka u Kragujevcu (in Serbian).
Owen S., Daskin M. (1998), Strategic facility location: A review, European Journal of Operational Research, 111, 423–447.
Ozcan T., Celebi N., Esnaf S., (2011), Comparative analysis of multi – criteria decision making methodologies and implementation of a warehouse location selection problem, Expert Systems with Applications, 38, 9773–9779.
Parkih P.J., Meller R.D., (2008), Selecting between batch and zone order picking strategies in a distribution center, Transportation Research Part E, 44, 696–719.
Petrović G., Sekulić V., Madić M., Mihajlović J., (2018), A study of multi-criteria decision-making for selecting suppliers of linear motion guide, Facta Universitatis, 14(1), 1–14.
Pupavac D., Baburić M., Baković I., (2014), Logistic distribution centers – business success factor of trading companies, Business Logistics in Modern Management, 14th International Scientific Conference – Osijek, Croatia.
Rao C., Goh M., Zhao Y., Zheng J., (2015), Location selection of city logistics centers under sustainability, Transportation Research Part D, 36, 29–44.
Saaty T.L., (1977), A scaling method for priorities in hierarchical structures, Journal of Mathematical Psychology, 15(3), 234–281.
Saaty T.L., (1980), The Analytic Hierarchy Process, New York: McGraw-Hill.
Sanayei A., Mousavi S., Yazdankhah A., (2010), Group Decision making process for supplier selection with VIKOR under fuzzy environment, Expert Systems with Applications, 24–30.
Saparauskas J., Zavadskas E.K., Turskis Z., (2011), Selection of facade’s alternatives of commercial and public buildings based on multiple criteria, International Journal of Strategic Property Management, 15(2), 189–203.
Statistical Office of the Republic of Serbia, http://www.stat.gov.rs/en-US, Accessed on 12.07.2019.
Stević Ž., Vesković S., Vasiljević M., Tepić G., (2015), The selection of the logistics center location using AHP method, 2nd logistics International Conference in Belgrade, 21–23 May.
Tomić V., Marinković D., Marković D., (2014), The Selection of logistics Center location Using Multi-criteria decision making Comparison: Case Study of the Balkan Peninsula, Acta Polytechnics Hungarias vol. 11, No 20, 97–113.
Van Thai V., Grewal D., (2005), Selecting the Location of Distribution Centre in Logistics Operations: A Conceptual Framework and Case Study, Asia Pacific Journal of Marketing and Logistics, 17, 3–24.
Viera J.G.V., Toso M.R., Ramos da Silva J.E.A., Ribeiro P.C.C., (2017), An AHP – based framework for logistics operation in distribution centers, Int. J. Production Economics, 187, 246–259.
Wang X., Triantaphyllon E., (2008), Ranking irregulatities when evaluating alternatives by using some ELECTRE methods, The International Journal of Management Science, 36, 45– 63.
Zak J., Weglinski S., (2014), The selection of the logistics center location based on MCDM/A methodology, Transportation Research Procedia, 3, 555–564.
Zavadskas E.K., Turskis Z., Antucheviciene J., Zakarevicius A., (2012), Optimization of weighted aggregated sum product assessment, Electronics and Electrical Engineering, 122(6), 3–6.
http://www.lokalnirazvoj.org/sr/books/details/23, Figure 1. Southern and Eastern Serbia region’s districts, Accessed on 12.06.2019.
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Published
2019-08-19
How to Cite
Mihajlović, J., Rajković, P., Petrović, G., & Ćirić, D. (2019). The Selection of the Logistics Distribution Center Location Based on MCDM Methodology in Southern and Eastern Region in Serbia. Operational Research in Engineering Sciences: Theory and Applications, 2(2), 72–85. https://doi.org/10.31181/oresta190247m
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