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Study on Logistics Performance Evaluation Based on DEA-AHP Method

Pei Jin-ying

Open publisher page 2 citations

Abstract

Based on the index system of the logistics performance evaluation being built and the fact that Data Envelopment Analysis(DEA)can not express the decision makers' preference and the subjectivity of Analytic Hierarchy Process(AHP),a method integrating DEA and AHP to evaluate the logistics performance is proposed in this paper.Differing from the previous method which can not resolve the problem of decision makers' preference ultimately,this method uses AHP to consider the weight of the first hierarchical index,and then works out the efficiency of each unit at every index with DEA.At last,we calculate the total efficiency of each unit combining the above results and the ranking of the units is obtained.This method makes good use of both DEA and AHP while avoiding the disadvantages of them.Finally,the practical case is computed to illustrate the applicability and feasibility of the method.

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What this paper is about

Based on the index system of the logistics performance evaluation being built and the fact that Data Envelopment Analysis(DEA)can not express the decision makers' preference and the subjectivity of Analytic Hierarchy Process(AHP),a method integrating DEA and AHP to evaluate the logistics performance is proposed in this paper.Differing from the previous method which can not resolve the problem of decision makers' preference ultimately,this method uses AHP to consider the weight of the first hierarchical index,and then works out the efficiency of each unit at every index with DEA.At last,we calculate the total efficiency of each unit combining the above results and the ranking of the units is obtained.This method makes good use of both DEA and AHP while avoiding the disadvantages of them.Finally,the practical case is computed to illustrate the applicability and feasibility of the method.

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Available abstract

Based on the index system of the logistics performance evaluation being built and the fact that Data Envelopment Analysis(DEA)can not express the decision makers' preference and the subjectivity of Analytic Hierarchy Process(AHP),a method integrating DEA and AHP to evaluate the logistics performance is proposed in this paper.Differing from the previous method which can not resolve the problem of decision makers' preference ultimately,this method uses AHP to consider the weight of the first hierarchical index,and then works out the efficiency of each unit at every index with DEA.At last,we calculate the total efficiency of each unit combining the above results and the ranking of the units is obtained.This method makes good use of both DEA and AHP while avoiding the disadvantages of them.Finally,the practical case is computed to illustrate the applicability and feasibility of the method.

Key concepts: Analytic hierarchy process, Data envelopment analysis, Ranking (information retrieval), Computer science, Operations research, Index (typography), Preference, Unit (ring theory)

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