An application of fuzzy set theory to the external performance evaluation of distribution centers in logistics |
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Authors: | Y-C Chen |
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Affiliation: | (1) Department of Advertising, Ming Chuan University, 250 Sec. 5, Chung Shan N. Road, Taipei, Taiwan, R. O. C. E-mail: ycchen@mcu.edu.tw, TW |
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Abstract: | The purpose of this paper is to propose an algorithm for external performance evaluation in the area of logistics from retailers'
viewpoint under fuzzy environment. The fundamental concepts we have adopted include the factor analysis, eigenvector method,
fuzzy Delphi method, fuzzy set theory and multi-criteria decision-making method. We use factor analysis to condense twenty
external performance sub-criteria into six criteria to construct the hierarchical structure of external performance evaluation
of distribution centers. The fuzzy Delphi method is integrated with the eigenvector method to form a set of pooled weights
of the extracted criteria. The concepts of triangular fuzzy number and linguistic variables are used to assess the preference
ratings of linguistic variable, ‘importance’ and ‘appropriateness’. Through the hierarchy integration, we obtain the final
scores of distribution centers' performance. Then we use a revised Chang and Chen's ranking method to rank the final scores
of distribution centers for choosing the best distribution center in the area of logistic management. |
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Keywords: | Multi-criteria decision making Factor analysis Analytic hierarchy process Fuzzy number External performance |
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