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Performance Evaluation of Retail Warehouses: A Combined MCDM Approach Using G-BWM and RATMI

Author

Listed:
  • Abdullah M. Barasin

    (Department of Industrial Engineering, Faculty of Engineering, King Abdulaziz University, P.O. Box 80204, Jeddah 21589, Saudi Arabia)

  • Ammar Y. Alqahtani

    (Department of Industrial Engineering, Faculty of Engineering, King Abdulaziz University, P.O. Box 80204, Jeddah 21589, Saudi Arabia)

  • Anas A. Makki

    (Department of Industrial Engineering, Faculty of Engineering—Rabigh, King Abdulaziz University, P.O. Box 80204, Jeddah 21589, Saudi Arabia)

Abstract

Background : The retail sector has experienced significant growth in recent years, necessitating efficient supply chain management and sustainable logistics practices. Evaluating the performance of retail warehouses is crucial for meeting customer expectations and enhancing operational efficiency. Methods : This study employed a combined multi-criteria decision-making (MCDM) approach, using the group best–worst method (G-BWM) for weighting criteria and ranking the alternatives based on the trace-to-median index (RATMI) for warehouse ranking. The performance criteria were cost, quality, time, productivity, and safety. Data were collected from four mega retail warehouses in the western region of Saudi Arabia for evaluation and analysis. Results : The evaluation of retail warehouse performance using the MCDM approach provided valuable insights for decision-makers and warehouse experts. The criteria weights were determined using the G-BWM, and the RATMI enabled the ranking of the warehouses based on their weighted performance scores. The results highlight the strengths and weaknesses of each warehouse, facilitating strategic planning, resource allocation, and operational improvements. Conclusions: This study presents a novel combined MCDM performance evaluation approach for retail warehouses. The study has implications for effective decision-making processes, resource allocation, and operational efficiency. Furthermore, it serves as a foundation for future research, exploring additional dimensions of warehouse performance and enabling sustainable logistics within the broader supply chain context.

Suggested Citation

  • Abdullah M. Barasin & Ammar Y. Alqahtani & Anas A. Makki, 2024. "Performance Evaluation of Retail Warehouses: A Combined MCDM Approach Using G-BWM and RATMI," Logistics, MDPI, vol. 8(1), pages 1-23, January.
    • Handle: RePEc:gam:jlogis:v:8:y:2024:i:1:p:10-:d:1317722
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    References listed on IDEAS

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    1. Reda M. S. Abdulaal & Omer A. Bafail & Ghous Ali, 2022. "Two New Approaches (RAMS-RATMI) in Multi-Criteria Decision-Making Tactics," Journal of Mathematics, Hindawi, vol. 2022, pages 1-20, September.
    2. Katarina Urošević & Zoran Gligorić & Igor Miljanović & Čedomir Beljić & Miloš Gligorić, 2021. "Novel Methods in Multiple Criteria Decision-Making Process (MCRAT and RAPS)—Application in the Mining Industry," Mathematics, MDPI, vol. 9(16), pages 1-21, August.
    3. Rouwenhorst, B. & Reuter, B. & Stockrahm, V. & van Houtum, G. J. & Mantel, R. J. & Zijm, W. H. M., 2000. "Warehouse design and control: Framework and literature review," European Journal of Operational Research, Elsevier, vol. 122(3), pages 515-533, May.
    4. Francielly Hedler Staudt & Gülgün Alpan & Maria Di Mascolo & Carlos M. Taboada Rodriguez, 2015. "Warehouse performance measurement: a literature review," International Journal of Production Research, Taylor & Francis Journals, vol. 53(18), pages 5524-5544, September.
    5. Babak Daneshvar Rouyendegh & Şeyda Savalan, 2022. "An Integrated Fuzzy MCDM Hybrid Methodology to Analyze Agricultural Production," Sustainability, MDPI, vol. 14(8), pages 1-16, April.
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