Fuzzy AHP approach in supplier selection
Quan, Thai Minh
Date:
2014
2014
Abstract:
Today’s competitive
business world, every company or organization must purchase a lot of
components and raw materials from different suppliers to manufacture or
assemble its products. Thus, supplier selection is a multi–criteria
decision making process that deals with the optimization of conflicting
objectives such as quality, cost, and delivery time, so that, it is
extremely important for the decision makers to have a decision support
tools in order to make quick, right and accurate decisions. If it is not
supported by a system, this would be a complex and time consuming
process.
In this thesis, a decision support system for supplier selection is
developed to address foregoing demand. This system combines fuzzy set
theory and the analytic hierarchy process to decrease the influence of
decision makers’ subjective preferences during evaluation process. By
using both qualitative and quantitative data, in this study, the extent
analysis method and integral value calculation is used for computing the
priority weights of criteria and alternatives.
Finally, a case study of supplier selection is simulated by our approach
for the model. This system will helps Hung Tri JSC select their
preferred suppliers from candidate suppliers.
Keywords: Fuzzy AHP, Supplier Selection.
business world, every company or organization must purchase a lot of
components and raw materials from different suppliers to manufacture or
assemble its products. Thus, supplier selection is a multi–criteria
decision making process that deals with the optimization of conflicting
objectives such as quality, cost, and delivery time, so that, it is
extremely important for the decision makers to have a decision support
tools in order to make quick, right and accurate decisions. If it is not
supported by a system, this would be a complex and time consuming
process.
In this thesis, a decision support system for supplier selection is
developed to address foregoing demand. This system combines fuzzy set
theory and the analytic hierarchy process to decrease the influence of
decision makers’ subjective preferences during evaluation process. By
using both qualitative and quantitative data, in this study, the extent
analysis method and integral value calculation is used for computing the
priority weights of criteria and alternatives.
Finally, a case study of supplier selection is simulated by our approach
for the model. This system will helps Hung Tri JSC select their
preferred suppliers from candidate suppliers.
Keywords: Fuzzy AHP, Supplier Selection.
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Fuzzy AHP approach in supplier selection
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