DISTRIBUTION CHANNELS SELECTION USING PCA-DEA APPROACH
Journal Title: INTERNATIONAL JOURNAL FOR TRAFFIC AND TRANSPORT ENGINEERING - Year 2015, Vol 5, Issue 1
Abstract
Strategic decision making is very important in logistics. One of the most important strategic decisions in logistics is the selection of distribution channels. This paper proposes the efficiency of distribution channels as one of the main selection criteria. The efficiency of distribution channels simultaneously affects logistics costs and customer satisfaction. Based on the main characteristics of the distribution channels, such as delivery time, service level, volume of business, the level of errors and the different cost categories in this paper the PCA-DEA approach for measuring the efficiency and selection of certain types of distribution channels is proposed. Model is tested on the numerical example. Results show the great capability of the proposed model.
Authors and Affiliations
Milan Andrejić, Milorad Kilibarda
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