Journal of the Korean Operations Research and Management Science Society (한국경영과학회지)

The Korean Operations Research and Management Science Society (한국경영과학회)
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A Relative Efficiency Assessment Model for Logistics Systems

물류체계의 상대적 효율성 평가모형

  • 전승호 (대우정보시스템 컨설팅사업부) ;
  • 노승종 (아주대학교 경영대학)
  • Published : 1999.12.01
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Abstract

We propose a series of methodologies that can evaluate relative efficiency of logistics units(centers) in three categories; managerial, cost, and operational efficiency. Inputs and outputs of logistics systems are first defined. Appropriate quantitative and qualitative measures for the three categories are then selected. Employed also are Analytic Hierarchy Process, Weighted Scoring Method, Stochastic Frontier Model, and Data Envelopment Analysis for the development of a comprehensive assessment scheme. Our scheme not only assesses the degree of relative efficiency of logistics units but also identify the sources of inefficiency in each unit The methodologies are applied to a large telecommunications company which operates 12 distribution centers nation wide. Relative efficiencies of the centers are compared using 1995-1997 performance data. Summarized are the level of efficiency of each distribution center for each of the three categories. The degree and sources of inefficiency of each distribution center are also discussed.

Keywords

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