A robust hybrid multi-criteria decision making methodology for contractor evaluation and selection in third-party reverse logistics |
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| Affiliation: | 1. Department of Mechanical Engineering, Kamaraj College of Engineering and Technology, Virudhunagar 626001, India;2. Indian Institute of Management Tiruchirappalli, Tiruchirappalli 620015, India;3. Department of Mechanical Engineering, National Institute of Technology Calicut, Calicut 673601, India;1. Charlton College of Business, University of Massachusetts – Dartmouth, 285 Old Westport Road, North Dartmouth, MA 02747-2300, USA;2. Department of Management & Marketing,The Hong Kong Polytechnic University, Hung Hom, Kowloon, Hong Kong, PR China.;1. College of Business Administration, Hunan University, Changsha, Hunan 410082, China;2. Academy of Mathematics and Systems Sciences, Chinese Academy of Sciences, Beijing 100080, China;3. Department of Management Sciences, City University of Hong Kong, Tat Chee Avenue Kowloon, Hong Kong, China |
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| Abstract: | Due to green legislations, industries track the used products through reverse logistics contractors. A reverse logistics programme offers significant cost savings in procurement, transportation, disposal and inventory carrying. Since reverse logistics operations and the supply chains they support are considerably more complex than traditional manufacturing supply chains, it can be offered to third party contractors. But availability of more number of contractors make evaluating and selecting the most efficient Reverse Logistics Contractor (RLC) a challenging task and treated as a multi-criteria decision making problem. In this paper, a hybrid method using Analytical Hierarchy Process (AHP) and the Fuzzy Technique for Order Preference by Similarity to Ideal Solutions (TOPSIS) is proposed. AHP is used to obtain the initial weights and Fuzzy TOPSIS is used to get the final ranking. A case study demonstrates the application of the proposed method. Finally sensitivity analysis is carried out to confirm the robustness. |
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| Keywords: | Reverse logistics AHP TOPSIS Multi-criteria decision making |
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