Model Evaluation and Ranking of How to Optimize the Transport of Container Shipping Companies Using TOPSIS Technique

Authors

Department of Management, Yazd Science and Research Branch, Islamic Azad University, yazd, Iran

Abstract

Today, along with enhancement of social well-being and
economic development, demand for transportation is growing increasingly.
Many countries are seeking for providing transportation services
at a reasonable price. Therefore, optimization of carrying goods on national
or international roads is highly important in terms of costs and
transportation indicator, so that the goods are shipped at minimum
costs and maximum profit for the forwarding agencies. For this purpose,
the limitations should be identified. In this paper, considering critical indicators
and various modes of transportation, we attempt to choose and
rank the best option with respect to pre-defined criteria imposing least
costs. The indicators and criteria determined in this research for selecting
the best mode of container loading are those introduced by transport
experts (sima marine shipping company) based on the their importance
for the company. These indicators include forwarding charges, volume
of containers and quantity of portable containers (20ft and 40ft), which are not equally important and each has been given a weight by company’s
experts, the total of which equals one. To use the weights in
a logical manner, shannon entropy technique was applied. Our aim in
this research is selection of the best option for carrying the containers
under conditions which the demand for the goods to be shipped overweighs
the capacity of the ship, known as critical point in loading the
containers. To achieve this aim, for ranking containerized shipping a
multi-criteria decision analysis method called topsis is used to rank m
options against n criteria.

Keywords