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Identifying profitable clientele using the analytical hierarchy process

Author

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  • Rakesh Verma
  • Saroj Koul
  • Sushanth S. Pai

Abstract

This paper presents an analytical hierarchy process (AHP)-based quantitative framework to help a logistics provider rank prospective partner original equipment manufacturer (OEM) companies with the view of optimising its business development approach in the fast moving consumer goods (FMCG) sector. Key decision making factors are identified using primary and secondary research. A total score is calculated for each OEM company and this ranking is used to identify which OEMs a third-party logistics (3PL) provider should align with. 3PL providers can use this framework to prioritise their business developments efforts and to focus on the right clientele to achieve profitable and sustainable growth. The value of this paper lies in identifying the critical decision making factors that drive the business and its logistics functions.

Suggested Citation

  • Rakesh Verma & Saroj Koul & Sushanth S. Pai, 2016. "Identifying profitable clientele using the analytical hierarchy process," International Journal of Business and Systems Research, Inderscience Enterprises Ltd, vol. 10(2/3/4), pages 220-237.
  • Handle: RePEc:ids:ijbsre:v:10:y:2016:i:2/3/4:p:220-237
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