IDEAS home Printed from https://ideas.repec.org/a/vrs/econom/v10y2022i1p13-34n5.html
   My bibliography  Save this article

Hybrid MCDM Solutions for Evaluation of the Logistics Performance Index of the Western Balkan Countries

Author

Listed:
  • Mešić Amar

    (University of East Sarajevo, Faculty of Transport and Traffic Engineering, Doboj, Bosnia and Herzegovina)

  • Miškić Smiljka

    (University of East Sarajevo, Faculty of Transport and Traffic Engineering, Doboj, Bosnia and Herzegovina)

  • Stević Željko

    (University of East Sarajevo, Faculty of Transport and Traffic Engineering, Doboj, Bosnia and Herzegovina)

  • Mastilo Zoran

    (University of East Sarajevo, Faculty of Business Economics, Bijeljina, Bosnia and Herzegovina)

Abstract

The Logistics Performance Index (LPI) performed by the World Bank is an indicator of the logistics environment quality of a country in which logistics operators act. The LPI is an interactive tool designed to help countries identify challenges, innovative solutions, and opportunities they face in their work in the field of trade and logistics. The aim of this paper is to conduct a comparative analysis and ranking of the LPI of the countries in the Western Balkans (Bosnia and Herzegovina, North Macedonia, Albania, Serbia and Montenegro), calculated by the World Bank for 2018, using an integrated Criteria Importance Through Intercriteria Correlation (CRITIC)-Measurement Alternatives and Ranking according to Compromise Solution (MARCOS) model and thus show the real picture of the logistics environment. In order to determine the performance of countries and show the overall logistics performance, six key dimensions are used: customs, infrastructure, international transport, logistics capability, tracking and tracing of goods and shipment delivery within scheduled or expected times. Using the CRITIC method, the weight values of the previously mentioned six criteria were calculated, whereby the criterion related to shipment delivery within scheduled times was singled out as the most significant criterion. Then, by applying the MARCOS method, the countries of the Western Balkans were ranked on the basis of the six defined criteria. Based on the results obtained, the best-ranked country is Serbia. The analysis of the sensitivity of the results to changes in the significance of the criteria does not show significant changes in the ranking.

Suggested Citation

  • Mešić Amar & Miškić Smiljka & Stević Željko & Mastilo Zoran, 2022. "Hybrid MCDM Solutions for Evaluation of the Logistics Performance Index of the Western Balkan Countries," Economics, Sciendo, vol. 10(1), pages 13-34, June.
    • Handle: RePEc:vrs:econom:v:10:y:2022:i:1:p:13-34:n:5
    DOI: 10.2478/eoik-2022-0004
    as

    Download full text from publisher

    File URL: https://doi.org/10.2478/eoik-2022-0004
    Download Restriction: no
    File URL: https://libkey.io/10.2478/eoik-2022-0004?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Daniel Saslavsky & Ben Shepherd, 2014. "Facilitating international production networks: The role of trade logistics," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 23(7), pages 979-999, October.
    2. Amrita Jhawar & S.K. Garg & Shikha N. Khera, 2017. "Improving logistics performance through investments and policy intervention: a causal loop model," International Journal of Productivity and Quality Management, Inderscience Enterprises Ltd, vol. 20(3), pages 363-391.
    3. Özceylan, Eren & Çetinkaya, Cihan & Erbaş, Mehmet & Kabak, Mehmet, 2016. "Logistic performance evaluation of provinces in Turkey: A GIS-based multi-criteria decision analysis," Transportation Research Part A: Policy and Practice, Elsevier, vol. 94(C), pages 323-337.
    4. Julia Devlin & Peter Yee, 2005. "Trade Logistics in Developing Countries: The Case of the Middle East and North Africa," The World Economy, Wiley Blackwell, vol. 28(3), pages 435-456, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Xuanlong Qin & Danish Iqbal Godil & Muhammad Kamran Khan & Salman Sarwat & Sadaf Alam & Laeeq Janjua, 2022. "Investigating the effects of COVID-19 and public health expenditure on global supply chain operations: an empirical study," Operations Management Research, Springer, vol. 15(1), pages 195-207, June.
    2. Huynh, Cong Minh & Hong, Thien Huong, 2022. "The multi-dimension of international logistics performance and export flows: An empirical study from developing countries," MPRA Paper 112444, University Library of Munich, Germany.
    3. Lord, Montague, 2015. "Regional Economic Integration in Central Asia and South Asia," MPRA Paper 66436, University Library of Munich, Germany.
    4. Bryan Roberts & Fynnwin Prager & Charles Baschnagel & Adam Rose & Brett Shears, 2021. "The economic benefits of trade facilitation: U.S. Customs and Border Protection’s Centers of Excellence and Expertise programme," The World Economy, Wiley Blackwell, vol. 44(2), pages 346-366, February.
    5. Jean-Claude Maswana, 2020. "African Economies in the Shadow of China: Effects of Bilateral Trade Structure on Economic Growth in Africa," Foreign Trade Review, , vol. 55(1), pages 80-92, February.
    6. Zhao, Qianyu & Xu, Hang & Wall, Ronald S & Stavropoulos, Spyridon, 2017. "Building a bridge between port and city: Improving the urban competitiveness of port cities," Journal of Transport Geography, Elsevier, vol. 59(C), pages 120-133.
    7. Bernard Hoekman, 2014. "The Bali Trade Facilitation Agreement and Rulemaking in the WTO: Milestone, Mistake or Mirage?," RSCAS Working Papers 2014/102, European University Institute.
    8. Gilani Larimi, Niloofar & Azhdari, Abolghasem & Ghousi, Rouzbeh & Du, Bo, 2022. "Integrating GIS in reorganizing blood supply network in a robust-stochastic approach by combating disruption damages," Socio-Economic Planning Sciences, Elsevier, vol. 82(PA).
    9. Sakshi Aggarwal & Debashis Chakraborty, 2022. "Which Factors Influence India’s Intra-Industry Trade? Empirical Findings for Select Sectors," Global Business Review, International Management Institute, vol. 23(3), pages 729-755, June.
    10. Lord, Montague, 2014. "Trading Costs in East Asia’s Global Value Chains," MPRA Paper 61080, University Library of Munich, Germany.
    11. repec:unt:esctis:tis18 is not listed on IDEAS
    12. Asian Development Bank (ADB), 2013. "Asian Economic Integration Monitor - October 2013," ADB Reports RPS136096-3, Asian Development Bank (ADB), revised 28 Jan 2014.
    13. Aggarwal, Sakshi & Chakraborty, Debashis, 2017. "Determinants of India’s Bilateral Intra-Industry Trade over 2001-15: Empirical Results," MPRA Paper 78020, University Library of Munich, Germany.
    14. repec:edi:wpaper:018 is not listed on IDEAS
    15. Vilas Pathikonda & Thomas Farole, 2017. "The Capabilities Driving Participation in Global Value Chains," Journal of International Commerce, Economics and Policy (JICEP), World Scientific Publishing Co. Pte. Ltd., vol. 8(01), pages 1-26, February.
    16. Mathilde Maurel & Hugo Lapeyronie & Bogdan Meunier, 2016. "Impact of hard and soft infrastructure: Evidence from the EU partners, North Africa and CEECs," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-01396058, HAL.
    17. Jaime DE MELO & Ben SHEPHERD, 2018. "The Economics of Non-Tariff Measures: A Primer," Working Papers P212, FERDI.
    18. Chen, Yan & Huang, Zhenhua & Ai, Hongshan & Guo, Xingkun & Luo, Fan, 2021. "The Impact of GIS/GPS Network Information Systems on the Logistics Distribution Cost of Tobacco Enterprises," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 149(C).
    19. Pushp, Pushkar & Ahmed, Faisal, 2023. "The global value chain: Challenges faced by ASEAN least developed countries," Journal of Policy Modeling, Elsevier, vol. 45(6), pages 1223-1245.
    20. Petra Adelajda Zaninoviæ, 2022. "Do ICT and technological development facilitate supply chain trade?," Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, University of Rijeka, Faculty of Economics and Business, vol. 40(2), pages 313-327.
    21. Bernard Hoekman & Dominique Njinkeu, 2017. "Integrating Africa: Some Trade Policy Research Priorities and Challenges," RSCAS Working Papers 2017/43, European University Institute.
    22. Sakshi Aggarwal & Debashis Chakraborty, 2022. "Which Factors Influence India’s Bilateral Intra-Industry Trade? Cross-Country Empirical Estimates," Working Papers 2260, Indian Institute of Foreign Trade.

    More about this item

    Keywords

    Logistics Performance Index (LPI); MCDM model; CRITIC; MARCOS;
    All these keywords.

    JEL classification:

    • C52 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Evaluation, Validation, and Selection
    • N7 - Economic History - - Economic History: Transport, International and Domestic Trade, Energy, and Other Services
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • P17 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Performance and Prospects

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:vrs:econom:v:10:y:2022:i:1:p:13-34:n:5. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.sciendo.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.