Table of Contents
Journal of Industrial Engineering
Volume 2014, Article ID 794918, 16 pages
http://dx.doi.org/10.1155/2014/794918
Research Article

Logistics Service Provider Selection through an Integrated Fuzzy Multicriteria Decision Making Approach

Department of Industrial Engineering, Faculty of Engineering, Kocaeli University, 41380 Kocaeli, Turkey

Received 3 October 2013; Revised 15 March 2014; Accepted 15 April 2014; Published 16 June 2014

Academic Editor: C. K. Kwong

Copyright © 2014 Gülşen Akman and Kasım Baynal. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

Abstract

Nowadays, the demand of third-party logistics provider becomes an increasingly important issue for companies to improve their customer service and to decrease logistics costs. This paper presents an integrated fuzzy approach for the evaluation and selection of 3rd party logistics service providers. This method consists of two techniques: (1) use fuzzy analytic hierarchy process to identify weights of evaluation criteria; (2) apply fuzzy technique for order preference by similarity to ideal solution (TOPSIS) method to evaluate and sequence alternatives and to make the final selection. Finally, an actual industrial application is performed in logistics department of a tire manufacturing company. For this, first, eight logistics supplier selection criteria were determined, and then the best alternative among seven logistics service provider companies was selected by the proposed method.