LOCATION SELECTION FOR THE DEVELOPMENT OF A THREE-MODAL LOGISTICS CENTER USING ROUGH NUMBERS: HYBRID ROUGH AHP-MABAC MODEL

Abstract

This paper presents a novel approach for treating uncertainty in the multi-criteria decision making process by introducing rough numbers (RN). The RN approach enables decision making using only the internal knowledge incorporated in the data provided by the decision maker. A hybrid multi-criteria model was developed based on RN, and demonstrated using the example of a location selection for the development of a tri-modal logistics center by the Danube River. The first segment of the hybrid model deals with the rough AHP (RAHP) model, which enables more objective expert evaluation of criteria in a subjective environment than the traditional/crisp approach. In the second segment, the evaluation is enabled by applying the new rough MABAC method, which introduces mathematical tools and shows high stability concerning changes in the nature and characteristics of the criteria. The results of the hybrid RAHP-MABAC model were analyzed using 14 scenarios of sensitivity analysis, which showed high stability of the results.