Selecting the Optimal Location of CR Express International Logistics Centers Based on Hybrid MCDM Model

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MAGAZINE  №5 (100) October 2020

AUTHORS KOPYLOVA O.A., MURAVEV D.S.

CATEGORY  Global logistics projects Logistic infrastructure Logistic service providers

 

ABSTRACT

 To date, there has been an increase in the trade volumes between China and the European countries. However, the rail transportation between China an EU provided by China Railway Express has such problems as the imbalance of the container traffic and a large number of the small container flows on the Chinese rail routes. These problems increase the rail transportation costs which are three times higher than by sea. Undoubtedly, this situation reduces the demand for EU products from consumers in China. The prospective solution is to lessen the number of origin points on the Sino-European international route. In other words, we propose implementing CR Express logistics centers in China as points of integration and distribution of container traffic. We propose selecting the optimal location for CR Express logistics centers based on the application of a hybrid multi-criteria decision-making model. At the first stage, we suggest normalizing the weights of criteria that affect the location of international CR Express logistics centers. At the second stage, based on the normalized values of weights, the optimal location of CR Express logistics centers is selected based on their ranking. The approach presented in the paper could be used by logistics managers and public authorities to justify decisions on the sustainable development of Sino-European rail routes.

 

 Electronic version

 Keywords:  facility location problem China Railway Express MCDM hybrid MCDM DEMATELMAIRCA alternatives

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