Original scientific paper
https://doi.org/10.1080/1331677X.2019.1678502
Selection third-party logistics service providers in supply chain finance by a hesitant fuzzy linguistic combined compromise solution method
Zhi Wen
; Business School, Sichuan University, Chengdu, China;
Huchang Liao
; Business School, Sichuan University, Chengdu, China; b Faculty of Computing and Information Technology, King Abdulaziz University, Jeddah, Saudi Arabia
Edmundas Kazimieras Zavadskas
; Institute of Sustainable Construction, Vilnius Gediminas Technical University, Vilnius, Lithuania
Abdullah Al-Barakati
; Faculty of Computing and Information Technology, King Abdulaziz University, Jeddah, Saudi Arabia;
Abstract
In supply chain finance, the multiple criteria decision making (MCDM) problem of selecting a suitable third-party logistics (3PL) service supplier is of great significance to financial institutions. A suitable 3PL service supplier can not only help financial institutions carry out the supply chain finance business, but also can replace financial institutions to supervise the operation of a target financing supply chain, thus reducing the operational risks of financial institutions. As a useful MCDM method, the combined compromise solution (CoCoSo) method mainly combines a compromise decision algorithm with an aggregation strategy to obtain a compromise solution. This study extends the CoCoSo method to hesitant fuzzy linguistic environment to solve the multi-expert MCDM problem of the 3PL service supplier selection. Target criteria whose values are in linguistic forms are considered in the process of normalizing the decision matrix. A new integration approach with respect to subordinate compromise scores is introduced, and the subjective and objective weights of criteria are considered simultaneously in this extended process to avoid one-sidedness of criterion weights. A case study about the 3PL service supplier selection is given, in which the sensitivity analysis and comparative analysis are provided to highlight the advantages of the proposed method.
Keywords
Multiple criteria decision making; third-party logistics service providers; combined compromise solution method; hesitant fuzzy linguistic term set; supply chain finance; CoCoSo
Hrčak ID:
229747
URI
Publication date:
22.1.2019.
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