Customs brokerage company selection problem with hybrid method

Abstract

Purpose- Customs are the main transit points in cross-border trade activities. Customs logistics activities are carried out by authorized customs brokerage companies (CBC). Export/import companies that execute customs clearance with the right CBC partners gain competitive advantage. Therefore, selecting the right CBC is an important decision-making problem. In this research, CBC selection problem is handled with fuzzy-based multi criteria decision-making (MCDM) methods. Methodology- The research application covers the CBC selection process of an export firm. The criteria for the problem are obtained as a result of the literature review. The opinions of the decision makers are also taken. Seven criteria have been identified. These criteria are cost/price, service quality, information system and technology, flexibility, relationship, professionalism, reputation. Fuzzy-based stepwise weight assessment ratio analysis (F-SWARA) method is used for criterion weighting. In order of alternatives, ranking of alternatives through functional mapping of criterion sub-intervals into single interval (F-RAFSI) method is applied. Four decision makers are used to compare the criteria. Findings- Four CBC alternative rankings based on criteria are made. According to the research findings, the highest criterion weight is determined as service quality. The first alternative is chosen as the best alternative. Conclusion- CBC alternative sequencing has been made for the export company by applying fuzzy-based MCDM methods. Thus, the applicability of MCDM methods is supported in CBC company selection. In addition, the CBC selection criteria are determined, and the CBC selection problem are shed light on. Suggestions are also made to export companies and researchers based on the results of the research.