Cargo type selection procedure using fuzzy AHP and fuzzy TOPSIS techniques: 'the case of dry bulk cargo ships'

Abstract

Cargo type selection is a challenging procedure in shipping and logistic industry as net freight charge profit depends on many factors involving in maritime transportation. Maximisation of the net profit is subject to determination of the factors affecting the freight account. In this study, the problem of cargo type selection was investigated for the dry bulk ship companies by using fuzzy multi criteria decision-making approaches. The evaluation process is based on identifying criteria sets and ranking them according to factor loads using fuzzy AHP and finally deciding on the best alternative that is scored by the experts using fuzzy TOPSIS technique. Results of the study revealed that the most important criteria for dry bulk cargo selection are net freight charge profit (9.85%), cargo handling conditions (6.35%), total fuel consumption per voyage (5.96%), risk of piracy and stowaways (5.08%), position for the next voyage (4.87%) and cargo handling cost (4.74%).