Research On Logistics Outsourcing Decision-making Based On Entropy Theory

It has been proved that logistics outsourcing develops rapidly into a new enterprise strategy due to the advantages of reducing operation costs, strengthening core competence, accelerating organization restructuring, and improving the flexibility of enterprises. However, logistics outsourcing may lead enterprise to a wide range of risks, because of the uncertainty in the external environment, the changes in the market, enterprise risk management and decision-making ability and so forth. Therefore, how to make logistics outsourcing decision effective becomes the pressing issue to be addressed.On the basis of summarizing domestic and oversea literatures related to outsourcing theory, logistics theory and logistics outsourcing theory, and entropy theory. This thesis introduces the entropy into the risk measurement, then the entropy-theory- based logistics outsourcing decision-making model is established through the application of entropy-based risk measurement in outsourcing decision. The main efforts and conclusions of the thesis are explained in detail as follows. Firstly, entropy-utility-risk measurement is amended by introducing the transfer function so that conclusions can accord with people's intuition if decision-makers are risk-proneness. Secondly, the entropy-utility-cost-risk measurement is established through the application of entropy in risk measurement, which subsequently is proved to be reasonable and reliable by analyzing its characteristics. Thirdly, according to the characteristics of logistics outsourcing decision-making process, decision-making process is divided into two stages. On this basis, the thesis builds decision-making models for every stage. Furthermore, it proposes that the traditional method of logistics outsourcing decision is only a sub-model of the first stage which is called the stage of make-or-buy decision. Fourthly, according to the two-stage decision-making model of outsourcing, make-or-buy decision-making model for the first stage is established based on market-maturity-degree, and the entropy-utility-cost-risk measurement is applied in the establishment of logistics outsourcing scheme-selecting decision-making model for the second stage. Finally, the thesis analyzes the case of Haier Logistics and gives some examples of algorithms, which verifies the validity and reliability of the entropy-theory-based logistics outsourcing decision-making model.