Research on logistics capability of the supply chain in food production enterprise based on AHP and fuzzy entropy

Abstract

As the third profit source, logistics plays an extremely important role to reduce costs, improve efficiency and enhance the enterprise market competitiveness. This study describes the logistics capability of the supply chain in food production enterprise. The logistics capability is summarized as the ability to control the logistics cost, the ability of logistics service, the ability of logistics elements and the ability of logistics organization and management. Through the analysis of logistics capability of the supply chain in food production enterprise, this study establishes an evaluation system of logistics capability of the supply chain from the above four aspects. The Analytic Hierarchy Process (AHP) is used to determine weights of the subspace dimension indicators and the membership function in fuzzy theory is used to determine the indicators of the level of the matrix. Combined with the theory of entropy, integrated weight of logistics capability of the supply chain of the matrix can be determined and quantified indicators will be achieved as an evaluation criterion. Finally, the indicator system and evaluation method are integrated to analyze the logistics capabilities of the supply chain in food production enterprise via a case study, which proves to be valid. © Maxwell Scientific Organization, 2013.