Evaluating Supply Chain Network Models for Third Party Logistics Operated Supply-Processing-Distribution in Thai Hospitals: An AHP-Fuzzy TOPSIS Approach

Duangpun Kritchanchai, Daranee Senarak, Tuangyot Supeekit and Wirachchaya Chanpuypetch ()
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Duangpun Kritchanchai: Department of Industrial Engineering, Faculty of Engineering, Mahidol University, Nakhon Pathom 73170, Thailand
Daranee Senarak: Cluster of Logistics and Rail Engineering, Faculty of Engineering, Mahidol University, Nakhon Pathom 73170, Thailand
Tuangyot Supeekit: Department of Industrial Engineering, Faculty of Engineering, Mahidol University, Nakhon Pathom 73170, Thailand
Wirachchaya Chanpuypetch: Multidisciplinary and Interdisciplinary School, Chiang Mai University, Chiang Mai 50200, Thailand

Logistics, 2024, vol. 8, issue 4, 1-28

Abstract: Background : This study introduces a novel supply chain management (SCM) model tailored for the hospital industry in Thailand. The model emphasises the integration of third-party logistics (3PL) providers to streamline supply-processing-distribution (SPD) functions. By outsourcing non-core activities like SPD to 3PL providers, hospitals can enhance their operational efficiency, allowing healthcare professionals to focus on core tasks and ultimately improving service delivery. Methods : This research employed a dual methodology, combining an analytic hierarchy process (AHP) with a Fuzzy Technique for Order of Preference by Similarity to Ideal Solution (Fuzzy TOPSIS). These approaches evaluated various SCM models based on multiple hospital logistics performance attributes. Results : The AHP results highlighted on-time delivery, patient safety, utilisation rate, and emergency procurement as critical criteria for selecting the optimal model. Fuzzy TOPSIS analysis identified the SCIII: W-G-H model as the most suitable for implementation in Thai hospitals. This model incorporates a centralised warehouse for negotiation leverage, a Group Purchasing Organisation (GPO) for cost efficiency, and regional SPD hubs for effective inventory management and rapid responses to demand fluctuations or emergencies. Conclusions : Adopting this SCM model is expected to significantly enhance supply chain performance, reduce operational costs, and improve the quality and safety of patient care in Thai hospitals.

Keywords: hospital supply chain; supply chain management; supply-processing-distribution; 3PL; logistics; AHP; Fuzzy TOPSIS; Thailand (search for similar items in EconPapers)
JEL-codes: L8 L80 L81 L86 L87 L9 L90 L91 L92 L93 L98 L99 M1 M10 M11 M16 M19 R4 R40 R41 R49 (search for similar items in EconPapers)
Date: 2024
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