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An analytic network process approach to the selection of logistics service providers for air cargo

Yongheng Yang (), Y V Hui, L C Leung and G Chen
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Y V Hui: City University of Hong Kong
L C Leung: Chinese University of Hong Kong
G Chen: Sun Yat-sen University

Journal of the Operational Research Society, 2010, vol. 61, issue 9, 1365-1376

Abstract: Abstract Nowadays, enterprises typically outsource their logistics needs to logistics agents, who have become vital partners in managing supply chains. The logistics needs in a supply chain consist of many different interrelated services, each with its own set of requirements and constraints. A logistics agent might specialize in the provision of a single logistics service or might provide a range of services. The selection of logistics agent(s) cannot be separated into a series of stand-alone selections as the decisions are interrelated. Decision makers must assess the merits of individual activity-agent combinations, as well as their interrelationships along the entire supply chain. Such an evaluation is non-trivial, because both tangible and intangible elements are involved. In this research, we model the selection problem using analytic network process, a multiattribute decision-making methodology suitable for assessing interdependent elements, both tangible and intangible. We examine the significance of integration and consolidation of shipments, the trade-offs between costs, benefits and risks within activities of the logistics process, and the differing roles of traditional freight forwarders and integrators.

Keywords: logistics; ANP; supply chain management (search for similar items in EconPapers)
Date: 2010
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Citations: View citations in EconPapers (7)

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DOI: 10.1057/jors.2009.111

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