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Abstract

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Applying Maximum Entropy to Econometric Problems
Type: Book
ISBN: 978-0-76230-187-4

Open Access
Article
Publication date: 31 December 2020

Cheng-Wei Lin, Wan-Chi Jackie Hsu and Hui-Ju Su

The shipper selects a suitable shipping route and plans for a voyage in order to import and export cargo on the basis of published sailing schedules. The reliability of the…

Abstract

The shipper selects a suitable shipping route and plans for a voyage in order to import and export cargo on the basis of published sailing schedules. The reliability of the sailing schedule will influence the shipper’s logistics expense, which means that the logistics costs will depend on the reliability of schedules published by container shipping companies. Therefore, it is important to consider factors which can cause delays would for container ships sailing on sea routes. The reliability of published sailing schedules can be affected by a number of different factors. This study adopts the multi-criteria decision making (MCDM) method to estimate the importance of the delaying factors in a sailing schedule. In addition, the consistent fuzzy preference relations (CFPR) method is applied to identify the subjective importance (weights) of the delaying factors. The entropy weight method combined with the actual performance of the container shipping company are both used when estimating the objective importance (weights) of the delaying factors. According to the analysis results, the criteria can be divided into four quadrants with different management implications, which indicate that instructions for chase strategy, sailing schedule control, fleet allocation, transship operation arrangement and planning for ports in routes are often ignored by container shipping companies. Container shipping companies should consider adjusting their operational strategies, which would greatly improve their operational performance.

Details

Journal of International Logistics and Trade, vol. 18 no. 4
Type: Research Article
ISSN: 1738-2122

Keywords

Article
Publication date: 17 December 2021

Sudipta Ghosh, Madhab Chandra Mandal and Amitava Ray

Supplier selection (SS) is one of the prime competencies in a sourcing decision. Taking into account the key role played by suppliers in facilitating the implementation of green…

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Abstract

Purpose

Supplier selection (SS) is one of the prime competencies in a sourcing decision. Taking into account the key role played by suppliers in facilitating the implementation of green supply chain management (GSCM), it is somewhat surprising that very little research attention has been imparted to the development of a strategic sourcing model for GSCM. This research aims to develop a strategic sourcing framework in which supplier organizations are prioritized and ranked based on their GSCM performance. Accordingly, the benchmark organization is identified and its strategy is explored for GSCM performance improvement.

Design/methodology/approach

The research develops an innovative GSCM performance evaluation framework using six parameters, namely, investment in corporate social responsibility, investment in research and development, utilization of renewable energy, total energy consumption, total carbon-di-oxide emissions and total waste generation. An integrated multicriteria decision-making (MCDM) approach is proposed in which the entropy method calculates criteria weights. The Complex Proportional Assessment (COPRAS) and the Grey relational analysis (GRA) methods are used to rank supplier organizations based on their performance scores. A real-world case of green supplier selection (GSS) is considered in which five leading India-based automobile manufacturing organizations (Supplier 1, Supplier 2, Supplier 3, Supplier 4 and Supplier 5) are selected. Surveys with industry experts at the strategic, tactical, and operational levels are carried out to collect relevant data.

Findings

The results reveal that total carbon dioxide emission is the most influential parameter, as it gains the highest weight. On the contrary, investment in research and development, and total waste generation have no significant impact on GSCM performance. Results show that Supplier 5 secures the top rank. Hence, it is the benchmark organization.

Research limitations/implications

The proposed methodology offers an easy and comprehensive approach to sourcing decisions in the field of GSCM. The entropy weight-based COPRAS and GRA methods offer an error-free channel of decision-making and can be proficiently used to outrank various industrial sectors based on their GSCM performances. This research is specific to the automobile manufacturing supply chain. Therefore, research outcomes may vary across supply chains with distinct characteristics.

Practical implications

The basic propositions of this research are based on a real-world case. Hence, the research findings are practically feasible. The less significant parameters identified in this study would enable managers to impart more attention to vulnerable areas for improvement. This research may help policymakers identify the influential parameters for effective GSCM implementation. As this research considers all aspects of sustainability, the strategies of the benchmark supplier have a direct impact on organizations' overall sustainability. The study would enable practitioners to make various strategies for GSCM performance improvement and to develop a cleaner production system.

Originality/value

The originality of this research lies in the consideration of both economic, social, environmental and operational aspects of sustainability for assessing the GSCM performance of supplier organizations. Quantitative criteria are considered so that vagueness can be removed from the decision. The use of an integrated grey-based approach for developing a strategic sourcing model is another unique feature of this study.

Details

Benchmarking: An International Journal, vol. 29 no. 10
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 30 October 2020

Adrija Majumdar and Arnab Adhikari

In the context of sharing economy, the superhost program of Airbnb emerges as a phenomenal success story that has transformed the tourism industry and garnered humongous…

Abstract

Purpose

In the context of sharing economy, the superhost program of Airbnb emerges as a phenomenal success story that has transformed the tourism industry and garnered humongous popularity. Proper performance evaluation and classification of the superhosts are crucial to incentivize superhosts to maintain higher service quality. The main objective of this paper is to design an integrated multicriteria decision-making (MCDM) method-based performance evaluation and classification framework for the superhosts of Airbnb and to study the variation in various contextual factors such as price, number of listings and cancelation policy across the superhosts.

Design/methodology/approach

This work considers three weighting techniques, mean, entropy and CRITIC-based methods to determine the weights of factors. For each of the weighting techniques, an integrated TOPSIS-MOORA-based performance evaluation method and classification framework have been developed. The proposed methodology has been applied for the performance evaluation of the superhosts (7,308) of New York City using real data from Airbnb.

Findings

From the perspective of performance evaluation, the importance of devising an integrated methodology instead of adopting a single approach has been highlighted using a nonparametric Wilcoxon signed-rank test. As per the context-specific findings, it has been observed that the price and the number of listings are the highest for the superhosts in the topmost category.

Practical implications

The proposed methodology facilitates the design of a leaderboard to motivate service providers to perform better. Also, it can be applicable in other accommodation-sharing economy platforms and ride-sharing platforms.

Originality/value

This is the first work that proposes a performance evaluation and classification framework for the service providers of the sharing economy in the context of tourism industry.

Details

Benchmarking: An International Journal, vol. 28 no. 2
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 2 April 2024

Minyan Wei, Juntao Zheng, Shouzhen Zeng and Yun Jin

The main aim of this paper is to establish a reasonable and scientific evaluation index system to assess the high quality and full employment (HQaFE).

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Abstract

Purpose

The main aim of this paper is to establish a reasonable and scientific evaluation index system to assess the high quality and full employment (HQaFE).

Design/methodology/approach

This paper uses a novel Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS) multi-criteria framework to evaluate the quality and quantity of employment, wherein the integrated weights of attributes are determined by the combined the Criteria Importance Through Inter-criteria Correlation (CRITIC) and entropy approaches.

Findings

Firstly, the gap in the Yangtze River Delta in employment quality is narrowing year by year; secondly, employment skills as well as employment supply and demand are the primary indicators that determine the HQaFE; finally, the evaluation scores are clearly hierarchical, in the order of Shanghai, Jiangsu, Zhejiang and Anhui.

Originality/value

A scientific and reasonable evaluation index system is constructed. A novel CRITIC-entropy-TOPSIS evaluation is proposed to make the results more objective. Some policy recommendations that can promote the achievement of HQaFE are proposed.

Details

International Journal of Intelligent Computing and Cybernetics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1756-378X

Keywords

Article
Publication date: 11 August 2021

Yan Xiaofei

By calculating the information entropy of the indicator and measuring the amount of information in the data, this paper determines the weight of the indicator according to the…

Abstract

Purpose

By calculating the information entropy of the indicator and measuring the amount of information in the data, this paper determines the weight of the indicator according to the impact of the relative change of the indicator on the whole.

Design/methodology/approach

In order to study the action mechanism of circular economy development and green finance, based on the entropy method, this paper constructs a system analysis model based on event research.

Findings

Moreover, this paper uses the analytic hierarchy process to obtain subjective weights based on expert opinions and then uses the entropy method to obtain objective weights and finally combines the two. In addition, an intelligent model is constructed based on the action mechanism of circular economy development and green finance to improve the system structure.

Originality/value

Finally, this paper designs experiments to verify the performance of the system model. The research results show that the system model constructed in this paper meets the actual situation.

Details

Journal of Enterprise Information Management, vol. 35 no. 4/5
Type: Research Article
ISSN: 1741-0398

Keywords

Article
Publication date: 6 July 2010

Symeon Christodoulou

The purpose of the paper is to perform bid mark‐up optimisation through the use of artificial neural networks (ANN) and a metric of the selected bid mark‐up's derived entropy. The…

Abstract

Purpose

The purpose of the paper is to perform bid mark‐up optimisation through the use of artificial neural networks (ANN) and a metric of the selected bid mark‐up's derived entropy. The scope is to provide an alternative, entropy‐based method for bid mark‐up optimisation that improves on the analytical models of Friedman and Gates.

Design/methodology/approach

The proposed method enables the incorporation of bid parameters through the use of ANN's pattern recognition capabilities and the integration of these parameters with a mark‐up selection process that relies on the entropy produced by possible mark‐up values. The entropy metric used is the product of the probability of winning over the bidder's competitors multiplied by the natural logarithm of the inverse of this probability.

Findings

The case study results show that the proposed entropy‐based bidding model compares favourably with the prevailing competitive bidding models of Friedman and Gates, resulting in higher optimisation with regards to the number of jobs won, the monetary value of contracts awarded and the value of “money left on the table”. Furthermore, the method allows for the incorporation of several objective and subjective bid parameters, in contrast to Friedman's and Gates's models, which are based solely on the bid mark‐up history of a bidder's competitors.

Research limitations/implications

While the proposed method is a useful tool for the selection of optimal bid mark‐up values, it requires historical data on the bidding behaviour of key competitors, much like the classic bidding models of Friedman and Gates.

Originality/value

The method is suitable for quantifying objective and subjective competitive bidding parameters and for optimising bid mark‐up values.

Details

Engineering, Construction and Architectural Management, vol. 17 no. 4
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 18 January 2023

Lei Shao, Jiawei He, Xianjun Zeng, Hanjie Hu, Wenju Yang and Yang Peng

The purpose of this paper is to combine the entropy weight method with the cloud model and establish a fire risk assessment method for airborne lithium battery.

Abstract

Purpose

The purpose of this paper is to combine the entropy weight method with the cloud model and establish a fire risk assessment method for airborne lithium battery.

Design/methodology/approach

In this paper, the fire risk assessment index system is established by fully considering the influence of the operation process of airborne lithium battery. Then, the cloud model based on entropy weight improvement is used to analyze the indexes in the system, and the cloud image is output to discuss the risk status of airborne lithium batteries. Finally, the weight, expectation, entropy and hyperentropy are analyzed to provide risk prevention measures.

Findings

In the risk system, bad contact of charging port, mechanical extrusion and mechanical shock have the greatest impact on the fire risk of airborne lithium battery. The fire risk of natural factors is at a low level, but its instability is 25% higher than that of human risk cases and 150% higher than that of battery risk cases.

Practical implications

The method of this paper can evaluate any type of airborne lithium battery and provide theoretical support for airborne lithium battery safety management.

Originality/value

After the fire risk assessment is completed, the risk cases are ranked by entropy weight. By summarizing the rule, the proposed measures for each prevention level are given.

Details

Aircraft Engineering and Aerospace Technology, vol. 95 no. 6
Type: Research Article
ISSN: 1748-8842

Keywords

Article
Publication date: 14 February 2022

Wenjun Jiang, Shuli Liu and Susan Li

Green economy and economic development with high quality have set higher requirements for the development of the urban logistics industry. It can grasp the recent development…

Abstract

Purpose

Green economy and economic development with high quality have set higher requirements for the development of the urban logistics industry. It can grasp the recent development level of the urban logistics industry by measuring its environmental efficiency to guide its future development direction. The purpose of this study is to improve the environmental efficiency and development level of the urban logistics industry by using a reasonable evaluation method.

Design/methodology/approach

This paper uses information entropy to directly aggregate index weights from different models to acquire comprehensive index weights (CIWs) for calculating peer-evaluation efficiency. Then, we weight self and peer-efficiencies to obtain final efficiency. The environmental efficiencies of the urban logistics industry in Anhui Province in 2019 are obtained according to the above method.

Findings

Several findings are summarized below. The logistics industry in Anhui is in urgent need of improving environmental efficiency. The environmental efficiency of the logistics industry in North Anhui is the highest one, showing that the logistics industry in North Anhui has achieved a relative balance between economic development and environmental protection. Their final cross-efficiency values based on the CIWs are smaller than those based on the comprehensive efficiency. And the environmental efficiency of almost all urban logistics industries is lower than its economic efficiency. The findings show that the proposed method is feasible and more reasonable. More economic implications and suggestions are proposed.

Originality/value

This paper proposes an extended cross-efficiency evaluation method based on information entropy to measure the environmental efficiency of the urban logistics industry, effectively avoiding the overestimation of efficiency results.

Details

Journal of Modelling in Management, vol. 18 no. 2
Type: Research Article
ISSN: 1746-5664

Keywords

Article
Publication date: 13 February 2023

Nuh Keleş and Mehmet Pekkaya

The purpose of the study is the evaluation of choosing the determined logistics centers’ (LCs’) locations via Multi-Criteria Decision-Making (MCDM) methods.

Abstract

Purpose

The purpose of the study is the evaluation of choosing the determined logistics centers’ (LCs’) locations via Multi-Criteria Decision-Making (MCDM) methods.

Design/methodology/approach

Since there is more than one criterion in the evaluation of LC location, MCDM methods are used. The Entropy and CRiteria Importance Through Intercriteria Correlation (CRITIC) methods are used to determine the main criteria and sub-criteria weights. The Preference Ranking Organization Method for Enrichment Evaluation (PROMETHEE) method is used for ranking and evaluating 12 alternatives in Turkey and sensitivity analysis according to the threshold values of criteria and preference functions.

Findings

Possible LC alternatives in Turkey and 12 locations ranked. Changing the criteria weights at a significant level did not affect the ranking results much. In the sensitivity analysis of the criteria for which market data could not be obtained (scored by the experts) it is found that they either made no difference or made little difference in the ranking of the alternatives.

Practical implications

In terms of sustainability, economic factors along with environmental and social dimensions are important criteria for logistics companies and LC. The use of these variables in the LC location selection makes a difference.

Originality/value

This study focuses on LC location selection, via PROMETHEE with evaluated preference functions for criteria, taking into account nine scenarios that use variable criteria weight calculated via different MCDM methods. The results are evaluated by using sensitivity analysis and taking into account the sustainability aspect for LC. Multiple methods have been used effectively together in a way that support each other.

Details

Journal of Advances in Management Research, vol. 20 no. 2
Type: Research Article
ISSN: 0972-7981

Keywords

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