Browsing by Author "Boakai, Sylivan"

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A Fuzzy Best-Worst Multi-Criteria Decision-Making Method for Third-Party Logistics Provider Selection
(Kadir Has Üniversitesi, 2016) Boakai, Sylivan; Samanlıoğlu, Funda
In recent years, the outsourcing of logistics functions to a third-party has been a major alternative to vertical integration. Third-party logistics provider can serve as a significant source of competitive advantage for firms aiming to focus on their core competencies. In selecting a strategic third-party logistics partner, there are many criteria and potential providers that must be carefully evaluated. Hence, third-party logistics provider selection is a multi-criteria decision-making problem; and it is extremely important that decision makers have a reliable decision support tool to select the best partner. Several multi-criteria decision making methods have been proposed. Some of these methods like Analytical Hierarchy Process (AHP) and Analytic Network Process (ANP) require decision-makers to use pairwise comparisons in order to determine their preferences. However, due to the large number of criteria and potential providers associated with third-party logistics selection decision, these pairwise comparisons might lead to a reduction in the overall consistency. This thesis addresses this issue by extending the newly proposed best-worst method to incorporate decision-makers' uncertainty and vagueness while requiring fewer comparisons as compared to a method like Fuzzy AHP. The aim of this thesis is twofold: first, a fuzzy best-worst multi-criteria decision-making method is proposed to handle the issue of larger number of comparisons and uncertainty in judgements. Secondly, the proposed method is applied to a third-party logistics selection problem at a medium-sized company in Turkey. The results of the study show that the proposed method efficiently handles decision maker's inherent uncertainty while requiring fewer number of comparisons.