A hybrid MCDM approach to transshipment port selection

Abstract

Port selection is an intrinsic supply-chain problem that has substantial impact on development of local economies. Shipping business environment developed into complex system where decision making is derived from uncertain and incomplete data. In this study we present a conceptual integrated Multi-Criteria Decision solution to transshipment port selection problem based on Best-Worst MCDM and Artificial Bee Colony Algorithm. Through literature review and expert analysis, 50 relevant criteria have been identified as relevant to the transshipment port selection problem. Decision makers within liner shipping companies evaluate transshipment port selection criteria and establish ranking that is used to determine crisp solution with lowest consistency ratio. ABC based algorithm is used to reduce computational complexity and deliver a single optimal solution by solving both objective and constraint violation functions.