Dimensional Site Selection Methods for Regional Aquatic Products Cold Chain Logistics Center
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ACADEMIC JOURNAL OF MANUFACTURING ENGINEERING, VOL.18, ISSUE 3/2020 COMPARISON BETWEEN SINGLE- AND MULTI- DIMENSIONAL SITE SELECTION METHODS FOR REGIONAL AQUATIC PRODUCTS COLD CHAIN LOGISTICS CENTER Youli Wang1,2 1 School of Business Administration, Jiangxi University of Finance and Economics, Nanchang 330013, China 2 Applied Economics Postdoctoral Research Station of Jiangxi Publishing Group, Nanchang 330013, China E-mail: [email protected] ABSTRACT: This paper innovatively employs the quantified Boston matrix to reassess the regional fishery competitiveness of Fujian, a southeastern province of China, using the indices and weights in the six-dimensional quantitative assessment of the sites for APs cold chain logistics center. In light of the assessment results, the quantified Boston matrix under multiple dimensions were compared with the Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS) under a single dimension. The comparison shows that the single-dimensional method achieved basically the same results with the multi-dimensional method, with some differences arising from government strategies. The multi-dimensional method can depict the competition between APs cold chain logistics centers more scientifically, intuitively, comprehensively and accurately than the single-dimensional method. KEYWORDS: AP cold chain logistics center; technique for order of preference by similarity to ideal solution (TOPSIS); quantified the Boston matrix; dimension. Among them, the analytic hierarchy process, the 1 INTRODUCTION multi-objective programming approach and the grey Since the Central Document No. 1, issued in correlation analysis are commonly used (Akbulut et 2004, put up the concern of fresh product logistics, al., 2018; Zhao et al., 2019; Omrani et al., 2018; this is the 10th times that relevant industries were Birgün and Güngör, 2014; Li et al., 2018; Li eta l., mentioned in No. 1 over 11 years. 7 out of 80 policy 2019; Önüt and Soner, 2008; Wang, 2019). In measures rolled out in the Central Document No. 1 addition, Ji et al. (2014) have built a site selection in 2013 involve cold-chain logistics, while in 2014 optimization model for cold chain logistics center and 2015, there was the talk of this term again. The that considers the cost of Level III cargo damage; location of distribution center, as the core issue of Cui et al. (2015) also launched a site selection cold chain logistics, has aroused common concern assessment model for cold chain logistics center of the government, relevant companies and society. based on the ideal solution and the grey correlation; The study of site decision for the logistics center Liu and Zhu (2016) aimed to analyze the factors was first seen in the general articles written by affecting the APs (Aquatic Products) of Fujian’ AP practitioners when they contemplated things as they cold chain logistics based on FAHP. There are made decisions, rather than academic papers (Ady, gradually increased fruits yielded by studies on the 1981; Donovan, 1982; Freed and William, 1981; site selection of cold chain logistics centers in Gaforth, 1981; Li et al., 2019; Song and Cao, 2019; various cities (Chu, 2002; Liu, 2013; Wang et al., Hou et al., 2019; Li and Li, 2019; Dong et al., 2018). 2019). The founding of the "Harbor Location Wang and Wang (2010) analyzed the Theory" by Hudson (1969) marks the prelude to the comparative competitive power of Fujian’s fishery study of the site of logistics carriers. The site with the total output of APs, aquaculture area, selection of warehouses, logistics and distribution motor fishing vessel, AP processing, fishery centers will be subjected to many factors (Korpela population, fishery employees, and net fishery and Tuominen, 1996; Demirel et al., 2010; Ozcan et revenue as 8 indices using the TOPSIS. After al., 2011; Chen and Wang, 2017; Li et al., 2018). exploring the indices for assessing regional site Many scholars were engaged in the study of the site selection of AP cold chain logistics center, Wang selection method of the cold chain logistics center, (2012) developed an assessment indices system that and diverse algorithms and models emerged covers six dimensions (location factors), i.e. thereupon have been widely applied in the site productivity, human resource level, traffic selection of various types of logistics centers. conditions, government strategy, communal 59 ACADEMIC JOURNAL OF MANUFACTURING ENGINEERING, VOL.18, ISSUE 3/2020 facilities, economic development potential, and 19 demand, land price, traffic facilities, labor cost and variables for site selection of cold chain logistics environment. In general, the logistics center covers center of APs based on exploratory work and a huge area, incorporates multiple facilities that official qualitative test, and set up a structural functions as a regional integration of logistics equation model to describe the relationship between facilities with coordination and fundamental effect. previous and observational variables, by which It is a concentration of large-scale and intensive relative weights of individual site selection factors logistics facilities and an intersection of the logistics (measurement dimension) and the set of indices lines, covering the lands mainly for warehousing, weights for individual measurement variables are transportation, processing, etc., and also for certain derived. supporting information, consulting, maintenance, Based on the above literature review, it is known integrated services. From circulation function, it is a that there are much less studies on the comparison distribution center for integrated, regional, and between different site selection methods. This paper large-batch materials in physical displacement, applies Wang (2012) new indices and creatively integrates business, material and capital flows, reassesses the regional fishery competitiveness of information stream as a transit station among Fujian Province by quantifying the Boston matrix, production, supply and marketing companies. and compares Wang (2010) assessment results and Functionally, it is compatible with functions of methods with those from quantitative Boston logistics service organizations and operation matrix, hoping to find out the factors that lead to the management, including transportation, storage, difference between results by comparing the two loading and unloading, packaging, circulation methods with available results, make clear the processing services, etc., as a circulation mode and applicability of each method to help the peer operation system with various logistics functions; reasoning assessment on competitive momentum of scientifically, uniformly and standardly manage the AP cold chain logistics center, and reduce errors procurement, stocks, storage, sorting and in the site selection of the regional AP cold-chain distribution and other services with advanced logistics center. management technology and modern information network, so that the product movement processes 2 IMPLICATION AND are efficient, coordinated and orderly. CLASSIFICATION OF COLD CHAIN LOGISTICS CENTERS 2.2 Classification (1) Subject to service objects, the cold chain 2.1 Implication logistics center can be divided into the following China's "Logistics Terminology" (GB/T18354- types (See Figure 1). 2006) specifies that the logistics center is a site or (2) Operation modes. Sunil Chopra (2003) an organization that operates logistics activities classified six types of distribution centers under a well-established information network. As a (distributors or retailers store and deliver goods via key logistics node, the logistics center establishes hauler; manufacturers store, directly deliver and on a circulation center with a certain scale and transit goods via hauler; distributors or retailers integrated service functions. Wang (2005) stated store and deliver goods via hauler; distributors store that geographically, the logistics center is usually goods to the stocks close to consumer side where suited along urban fringe where there are good the delivery is made; manufacturer delivers to traffic conditions and spacious territory, say a pickup area across the inventory DC or retailer transportation hub that can connect with multiple stores, consumers pick up the goods; retailers store transport modes such as land transportation, air lift and consumers pick up the goods), which can be and water carriage to match the internal logistics referral to the division of the cold chain logistics network in the logistics base with the external center of APs from the operational mode, as shown transportation hub network; as for site selection, we in Table 1. should also consider the economic, social and natural conditions, for example, logistics market 60 ACADEMIC JOURNAL OF MANUFACTURING ENGINEERING, VOL.18, ISSUE 3/2020 Pharmaceutical cold chain Fruit and vegetable cold chain logistics center logistics center Chemical cold chain logistics Meat and poultry cold chain center logistics center Cold chain logistics Aquatic product cold chain Food cold chain logistics center center logistics center Cereal product cold chain logistics Flower cold chain logistics center center Other product cold chain logistics Dairy cold Chain Logistics Center center Figure 1. Classification map of cold chain logistics centers Table 1. 6 operation modes of cold chain logistics center of Aps 1. Manufacturers store and directly deliver goods 2. Manufacturers store, directly deliver and transit goods via hauler 3. Distributors or retailers