Application of analytic hierarchy process for selection alternative route in transporting construction materials to Oudomxay province, Lao PDR
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Abstract
This study aims to evaluate the expenses of land and sea transportation from the case study company to Lao PDR
(Oudomxay province) and identify the most cost-effective modes of transportation to meet the target market’s demands. Utilizing the Industrial Logistics Performance Index (ILPI) and the Analytic Hierarchy Process (AHP), the research was carried out utilizing the following five criteria: (1) unit cost ; (2) transit time ; (3) transportability ; (4) transportation safety ; and (5) transportation frequency. The analysis indicates that the cost of shipping freight by road is more expensive than shipping by sea freight. Case study companies should choose to ship by sea freight since they can respond to all 5 choices criteria up to 77.2%.
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References
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