Benchmarking distribution centres using Principal Component Analysis and Data Envelopment Analysis: A case study of Serbia

Authors:
Milan Andrejić;NebojšA Bojović;Milorad Kilibarda
Affiliations:
University of Belgrade, Faculty of Transport and Traffic Engineering, Republic of Serbia;University of Belgrade, Faculty of Transport and Traffic Engineering, Republic of Serbia;University of Belgrade, Faculty of Transport and Traffic Engineering, Republic of Serbia
Venue:
Expert Systems with Applications: An International Journal
Year:
2013

Citing 3
Cited 0

Applied multivariate techniques

Applied multivariate techniques
Increasing the discriminatory power of DEA in the presence of the undesirable outputs and large dimensionality of data sets with PCA

Expert Systems with Applications: An International Journal
A new DEA method for supplier selection in presence of both cardinal and ordinal data

Expert Systems with Applications: An International Journal

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Abstract

The efficiency of distribution systems is largely affected by the performances of distribution centres. The main objective of this paper is to develop and propose a DEA model for distribution centres efficiency measuring that can help managers in decision making and improving the efficiency. Due to numerous indicators that describe DCs operating, the main problem is indicators selection. In order to improve discriminatory power of classical DEA models PCA-DEA approach is used. This paper analysis the efficiency of distribution centres of one trading company in Serbia. Proposed models integrate operational, quality, energy, utilisation and equipment warehouse and transport indicators. Several hypotheses are tested in this paper. The results showed that small distribution centres are more efficient than large.