University of Oulu

Multi-criteria decision making with fuzzy TOPSIS : a case study in Bangladesh for selection of facility location

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Organizations: 1University of Oulu, Faculty of Technology, Industrial Engineering and Management
Format: ebook
Version: published version
Access: open
Online Access: PDF Full Text (PDF, 1 MB)
Pages: 56
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Language: English
Published: Oulu : M. RASHID, 2023
Publish Date: 2023-08-02
Thesis type: Master's thesis (tech)
Tutor: Kauppila, Osmo
Reviewer: Kauppila, Osmo


The choice of an ideal facility location becomes essential as businesses work to streamline their processes and increase efficiency. In this study, the Fuzzy Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS) method is applied to choose the best facility location for, a well-known Bangladeshi online book seller. The goal is to compare Fuzzy TOPSIS’ effectiveness and efficiency to expert judgment when choosing a facility location. The research begins by examining the existing fulfillment center of located in Motijheel, south Dhaka, and the company’s desire to establish a new branch in north Dhaka for faster service expansion. Eleven potential alternatives are evaluated using the Fuzzy TOPSIS method, which incorporates fuzzy set theory to represent criteria values and preferences as fuzzy numbers. This approach enables the consideration of uncertainty and vagueness in decision-making, offering a more comprehensive evaluation of the facility location alternatives. The study incorporates the expert opinion of four managerial experts from in addition to the Fuzzy TOPSIS analysis. To gain a thorough understanding of the decision-making process, their observations and viewpoints are contrasted with the Fuzzy TOPSIS findings. The study aims to compare the analyses produced by Fuzzy TOPSIS and expert judgment in order to assess the efficacy and efficiency of each method for choosing a facility location. The results of this study offer insightful information about the use of Fuzzy TOPSIS in the context of choosing a facility location. Additionally, it adds to the body of knowledge by contrasting the results of Fuzzy TOPSIS with professional judgment, highlighting the advantages and drawbacks of each method. The outcomes can help decision-makers at and other comparable organizations choose a facility location in a knowledgeable and efficient manner.

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