Abstract

The paper describes the application of a new multi-criteria decision-making (MCDM) model, MultiAtributive Ideal-Real Comparative Analysis (MAIRCA), used to select a location for the development of a multimodal logistics centre by the Danube River. The MAIRCA method is based on the comparison of theoretical and empirical alternative ratings. Relying on theoretical and empirical ratings the gap (distance) between the empirical and ideal alternative is defined. To determine the weight coefficients of the criteria, the DEMATEL method was applied. In this paper, through a sensitivity analysis, the results of MAIRCA and other MCDM methods – MOORA, TOPSIS, ELECTRE, COPRAS and PROMETHEE – were compared. The analysis showed that a smaller or bigger instability in alternative rankings appears in MOORA, TOPSIS, ELECTRE and COPRAS. On the other hand, the analysis showed that MAIRCA and PROMETHEE offer consistent solutions and have a stable and well-structured analytical framework for ranking the alternatives. By presenting a new method MCDM expands the theoretical framework of expertise in the field of MCDM. This enables the analysis of practical problems with new methodology and creates a basis for further theoretical and practical upgrade.

Highlights

  • The logistics centre (LC) is a unique technological, spatial, organisational and economic entity bringing together different providers and users of logistics services

  • Scenario 1 will focus on the independent effect of different formulations of the Reload LC Capacity (RC) criteria on the consistency of the results provided by multi-criteria decision-making (MCDM) methods

  • This paper presents the application of the hybrid DEMATEL–MultiAtributive Ideal-Real Comparative Analysis (MAIRCA) model in a decision-making process aimed to select the location of a multimodal logistics centre (LC) by the Danube River (Transportation Corridor IX)

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Summary

Introduction

The logistics centre (LC) is a unique technological, spatial, organisational and economic entity bringing together different providers and users of logistics services. Phase II of the MAIRCA method Evaluation and selection of the optimal alternative. The facility location problem usually involves a set of locations (alternatives) which are evaluated against a set of weighed criteria independent from each other. There are many ways to solve facility location problems including the dual-based algorithm proposed by Erlenkotter (1978). The paper presents a MCDM hybrid model (Figure 1), incorporating a fuzzy DEMATEL method (Dalalah, Hayajneh, & Batieha, 2011) and a new MCDM method, MAIRCA, developed by Professor Dragan Pamucar in the Logistics Research Centre at the Belgrade-based Defence University. Having defined the weights of the criteria based on the MAIRCA method, the optimal LC location was selected

Setting up the hybrid DEMATEL–MAIRCA model
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Sensitivity analysis
Conclusion
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