A Stochastic Multi-Criteria Decision-Making Analysis for a Warehouse Location Selection Problem: A Case Study

Abstract

<jats:p>The problem of a warehouse location selecting which has a significant impact on logistics costs is an important decision problem based on the best choice of alternatives under multiple conflicting criteria. Multiple-criteria decision-making (MCDM) methods are used as a solution approach for the decision problems including several criteria. In this study, a new stochastic multi-criteria decision-making approach has been developed to solve the warehouse location selection problem (WLSP) in the stochastic environment which contains uncertain situations. In the proposed approach, the SAHP (Stochastic Analytic Hierarchy Process) method was used to calculate the weight of criteria, and the alternatives were ranked and evaluated by fuzzy MOORA (Multi-Objective Optimization by Ratio Analysis). The proposed approach is applied to warehouse selection problem of a supermarket chain located in Turkey. The results of the research indicated that A2 is the best alternative. It can be said that the proposed method can be applied to the real life problems because it found a suitable solution to the problem.</jats:p>

Identifying Warehouse Location: A Case Study of an e-Commerce Firm

“…Considering literature related to identifying warehouse location, it was found that there were different methods used depending on the purposes and location of the studies. Multiple-criteria decision-making (MCDM) methods and examination of several criteria were used as a solution for a supermarket chain located in Turkey [6]. Fuzzy Analytic Hierarchy Process (FAHP) had been used to select warehouse locations for a global supply chain through a case study in Iran [1] and had been used as a decision support framework for selecting a location and creating a disaster relief network design in Indonesia [7].…”