Selection third-party logistics service providers in supply chain finance by a hesitant fuzzy linguistic combined compromise solution method. Issue 1 (1st January 2019)

• Record Type: Journal Article
• Authors: Wen, Zhi; Liao, Huchang; Kazimieras Zavadskas, Edmundas; Al-Barakati, Abdullah
• Is Part Of: Ekonomska istraživanja. Volume 32:Issue 1(2019)
• Page Start: 4033
• Page End: 4058
• Publication Date: 2019-01-01
• Subjects: Multiple criteria decision making -- third-party logistics service providers -- combined compromise solution method -- hesitant fuzzy linguistic term set -- supply chain finance -- CoCoSo; C44 -- C61 -- D70 -- D81 -- L83; Economics -- Research -- Periodicals; Economics -- Research; Electronic journals; 330.072
• DOI: 10.1080/1331677X.2019.1678502
• Languages: English
• ISSNs: 1331-677X

Abstract

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.