An integrated fuzzy multi-criteria group decision-making approach for green supplier evaluation

Purchasing is one of the most vital functions within a company and supplier performance evaluation is one of the most important business processes of the purchasing function. Traditionally, companies have considered factors such as price, quality, flexibility, etc. while evaluating suppliers. However, environmental pressures urge them to consider green issues. This study proposes a decision model for supplier performance evaluation by considering various environmental performance criteria. An integrated, fuzzy group decision-making approach is adopted to evaluate green supplier alternatives. More precisely, a fuzzy analytic hierarchy process (AHP) is applied to determine the relative weights of the evaluation criteria and an axiomatic design (AD)-based fuzzy group decision-making approach is applied to rank the green suppliers. Finally, a case study is given to demonstrate the potential of the methodology.     

A novel approach for supplier selection based on the Kano model and fuzzy MCDM

This paper proposes a three-phase approach for supplier selection based on the Kano model and fuzzy Multi Criteria Decision-Making. Since the supplier selection problem involves different criteria, quality attributes have been assumed to denote the importance weight of the criteria for supplier selection. Furthermore, to consider the inherent vagueness of human thought, a fuzzy logic has been utilised. Initially, the importance weight of the criteria has been calculated using a fuzzy Kano questionnaire and fuzzy analytic hierarchy process. In the second phase, the Fuzzy TOPSIS technique has been used to screen out in capable suppliers. Finally, in the third phase, the filtered suppliers which are qualified, once again will be evaluated by the same approach for the final ranking. The proposed approach has also been examined in a case study.     

Pre-selection of suppliers through an integrated fuzzy analytic hierarchy process and max-min methodology

There are a variety of analytical models for supplier selection ranging from simple weighted techniques to complex mathematical programming approaches. However, these models are specifically aimed at supporting a decision maker in a single phase, especially in the final selection phase and they have failed to consider the supplier selection process from a holistic point of view. Although the methodology presented in this paper primarily focused on the prequalification of potential suppliers, the outputs of the previous phases, namely problem definition and formulation of criteria, are used as inputs in this methodology. The methodology utilises a fuzzy analytic hierarchy process (AHP) method to determine the weights of the pre-selected decision criteria, a max-min approach to maximise and minimise the supplier performances against these weighted criteria, and a non-parametric statistical test to identify an effective supplier set. This information supports decision makers in making the final selection with effective alternative choices. Potential application of the proposed methodology is demonstrated in Audio Electronics in Turkey's electronics industry.     

An application of the fuzzy ELECTRE method for supplier selection

Supplier selection is vital to the success of a manufacturing firm. Supplier selection is a multi-criteria decision-making problem and is of strategic importance for most companies. As the conventional methods for supplier selection are inadequate for dealing with the imprecise or vague nature of linguistic assessment, a new method called the fuzzy technique for ELECTRE (ELimination Et Choix Traduisant la REalité) is proposed. The aim of this study is to compare and contrast crisp and fuzzy ELECTRE methods for supplier selection. The proposed methods are applied to a manufacturing company in Turkey. After determining the criteria that affect the supplier selection decisions, the results for both crisp and fuzzy ELECTRE methods are presented.     

基于犹豫模糊语言术语的供应商多准则群决策研究

针对全球价值链环境下供应商科学决策问题,提出基于不确定语言术语的多准则群决策模型。首先分别提取专家的偏好信息,将偏好信息转化为犹豫模糊语言术语,引入不确定语言变量进行词计算;其次,运用包络算子融合专家的偏好信息形成犹豫模糊语言术语集,设计集成准则权重的相对贴近度进行产品供应商排序,确定最满意供应商;此外,引入信息熵求解决策过程无先验知识的多准则权重;计算结果表明：3种信息熵参数条件下最满意汽车零部件供应商选择结果完全一致,基于相对贴近度值的供应商优劣排序结果相对于信息熵参数变化不敏感;验证了所提模型可行性、有效性和稳定性,为汽车零部件供应商的实际评价与选择提供有益借鉴。     

Sustainable Supplier Selection Model in Supply Chains During the COVID-19 Pandemic

As global supply chains become more developed and complicated, supplier quality has become increasingly influential on the competitiveness of businesses during the Covid-19 pandemic. Consequently, supplier selection is an increasingly important process for any business around the globe. Choosing a supplier is a complex decision that can result in lower procurement costs and increased profits without increasing the cost or lowering the quality of the product. However, these decision-making problems can be complicated in cases with multiple potential suppliers. Vietnam's textile and garment industry, for example, has made rapid progress in recent years but is still facing great difficulties as the supply of raw materials and machinery depends heavily on foreign countries. Therefore, it is extremely important for textile and garment manufacturing companies in Vietnam to implement an effective supplier evaluation and selection process. While multicriteria decision-making models are frequently employed to assist with supplier evaluation and selection problems, few of these models consider the problem under the condition of a fuzzy decision-making environment. The aim of this paper is to create a hybrid MCDM model using the Fuzzy Analytical Hierarchy Process (FAHP) model and the Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS) to assist the supplier selection process in the garment industry in a fuzzy decision-making environment. In this study, the FAHP method is used to evaluate the performance and the weight of each criterion. TOPSIS is then used to rank all potential suppliers. The proposed model is then applied to a real-world case study to demonstrate both the process of calculation as well as its real-world applicability. The results from the case study provide empirical evidence that the model is feasible. The proposed approach can also be used in combination with other MCDM models to better support decision makers and can be modified to be applied in similar supplier selection processes for different industries.     

Employing dynamic fuzzy membership functions to assess environmental performance in the supplier selection process

The proposed system illustrates that logic fuzzy can be used to aid management in assessing a supplier's environmental performance in the supplier selection process. A user-centred hierarchical system employing scalable fuzzy membership functions implement human priorities in the supplier selection process, with particular focus on a supplier's environmental performance. Traditionally, when evaluating supplier performance, companies have considered criteria such as price, quality, flexibility, etc. These criteria are of varying importance to individual companies pertaining to their own specific objectives. However, with environmental pressures increasing, many companies have begun to give more attention to environmental issues and, in particular, to their suppliers’ environmental performance. The framework presented here was developed to introduce efficiently environmental criteria into the existing supplier selection process and to reflect on its relevant importance to individual companies. The system presented attempts to simulate the human preference given to particular supplier selection criteria with particular focus on environmental issues when considering supplier selection. The system considers environmental data from multiple aspects of a suppliers business, and based on the relevant impact this will have on a Buying Organization, a decision is reached on the suitability of the supplier. This enables a particular supplier's strengths and weaknesses to be considered as well as considering their significance and relevance to the Buying Organization.     

Fuzzy hybrid decision model for supplier evaluation and selection

This paper proposes a structured, integrated decision model for evaluating suppliers by combining the fuzzy analytical hierarchy process (FAHP) and grey relational analysis (GRA). The qualitative and partially-known information is incorporated in this decision model using the fuzzy set theory. In this proposed methodology, the weights of the evaluation criteria are calculated by using FAHP, then the ranking of the suppliers is determined by using GRA. Finally to show the robustness of the model, a sensitivity analysis is also performed. In this study, the supplier selection problem of an electroplating industry in the southern part of India was investigated, demonstrating the effectiveness of this developed integrated model. This model can help in solving the complex decision in supplier selection practice. The results generated from the model are properly validated and finally a systematic solution with decision support is provided for decision makers. This model can be integrated with other decision support systems of similar kinds of industries.     

Maintenance supplier selection considering life cycle costs and risks: a fuzzy goal programming approach

In this study, we address a new variant of supplier selection problem named maintenance supplier selection problem faced by a manufacturer. The production system consists of different multi-component equipments whose maintenance activities require several components (parts) each of which could be provided by multiple suppliers. A multi-objective mathematical model is developed to decide about the supply base of each part as well as the purchasing quantity of each part from each selected supplier. The model accounts for the total life cycle costs of purchased parts and various risks threatening the candidate suppliers. A fuzzy/soft lexicographic goal programming approach with soft priorities between objectives is proposed to enable the decision-maker to make preferred trade-offs between objectives by which the effects of various risks in each phase of life cycle of procured parts are investigated. The capability and effectiveness of the proposed model is validated through a case study. Some sensitivity analyses are also carried out for investigating the impact of cost, risk and objectives’ priorities on the final preferred compromise solution. Finally, some managerial insights and concluding remarks are provided.     

Selecting suppliers using a new fuzzy multiple criteria decision model: the fuzzy balancing and ranking method

In this paper, we present a fuzzy multiple criteria decision making (FMCDM) model known as fuzzy balancing and ranking. In contrast to other MCDM models, our proposed model does not require the weights of decision making criteria. First, we appraise the performance of alternatives against criteria via linguistic variables which are expressed as triangular fuzzy numbers. The foregoing model obtains the alternative rankings through a four-stage process. Second, an outranking matrix is derived indicating that the frequency with which one alternative is superior to all other alternatives based on each criterion. Third, the outranking matrix is triangularised to obtain an implicit pre-ordering or provisional order of alternatives. Fourth, the provisional order of alternatives is subjected to various screening and balancing operations that require sequential application of a balancing principle to the so-called advantages–disadvantages table that combines the criteria with the pair-wise comparisons of alternatives. Additionally, to demonstrate the procedural implementation of the proposed model and its effectiveness, we apply it on a case study regarding the problem of supplier selection.     

A utility-driven approach to supplier evaluation and selection: empirical validation of an integrated solution framework

Supplier evaluation and selection (SES) problems have long been studied, leading to the development of a wide range of individual and hybrid models for solving them. However, the lack of widespread diffusion of existing SES models in the industry points to a need for simpler models that can systematically evaluate both qualitative and quantitative attributes of potential suppliers while enhancing the flexibility decision-makers need to account for relevant situational factors. Furthermore, empirical validations of existing models in SES have been few and far between. With a view to addressing these issues, this paper proposes an integrated solution framework that can be used to evaluate both tangible and intangible attributes of potential suppliers. The proposed framework combines three individual methods, namely the fuzzy analytic hierarchy process, fuzzy complex proportional assessment and fuzzy linear programming. The framework is validated through application in a Turkish textile company. The results generated using the proposed framework is compared with the actual historical data collected from the company. Additionally, a feasibility assessment is conducted on the sample supplier selection criteria employed, as well as assessment of the results generated using the proposed model.     

A distinct decision model for the evaluation and selection of a supplier for a chemical processing industry

The supplier selection process has gained importance recently due to the considerable amount of revenue spent on purchasing. The intention of this work is to develop an appropriate hybrid model by integrating the analytical hierarchy process (AHP) and grey relational analysis (GRA) for supplier evaluation and selection, which comprises three stages. In Stage I, the most influential criteria are selected by mutual-information-based feature selection. Stage II focuses on the determination of the weights of the attributes using AHP, while Stage III is used for the determination of the best supplier using GRA. The proposed model is illustrated using the case study of an electroplating industry to highlight the effectiveness and flexibility of the model. The model effectively combines specialised knowledge, experience and quantitative data to select the best suppliers. This paper presents the model development, solution and application processes of the proposed hybrid model for supplier selection. The decision support software was implemented in Excel to automate supplier selection. The proposed hybrid model is applied to enhance the decision-making process in supplier selection and also helps decision makers to effectively select suppliers.     

Vendor selection in a modified re-buy situation using a strategy-aligned fuzzy approach

The supplier/vendor selection is a decision-making problem at the strategic management level that involves a semi-structured process. The majority of the existing approaches obtained their optimal solutions without considering their fits with the strategy of the firm. This study utilizes the supplier positioning matrix, modified from the product-process change matrix, to link the capability of suppliers with the requirements of the customers to identify the strategy-aligned criteria for vendor selection in a modified re-buy situation. A fuzzy factor rating system is then used to evaluate the potential vendors based on the type of components required by the customers. In addition, in the proposed model, the final decision-maker is given the authority to synthesize the scores of individual alternatives based on the risks of individual vendors to accommodate the differences among the vendors to the specific environment. An empirical case study is performed to demonstrate the efficacy of the proposed system and to identify the best potential vendor(s) for further negotiation and development. The results of the case study also provide interesting managerial implications.     

A fuzzy goal programming approach for green supply chain optimisation under activity-based costing and performance evaluation with a value-chain structure

Supply chain operation with sustainable consideration has become an increasingly important issue in recent years. However, the decision framework with integrated costing and performance evaluation for green supply chain (GSC) has not been well developed so far in the literature. For this reason, this paper is aimed to propose a fuzzy goal programming (FGP) approach that integrates activity-based costing (ABC) and performance evaluation in a value-chain structure for optimal GSC supplier selection and flow allocation. The FGP approach is particularly suitable for such a decision model which includes flexible goals, financial and non-financial measures, quantitative and qualitative methods, multi-layer structure, multiple criteria, multiple objectives, and multiple strategies. An activity-based example of structural GSC with relevant costs and performances is presented for computing the composite performance indices of the GSC suppliers. A green supply chain of a mobile phone is used as an illustrative case. Several objective structures and their results are compared. The sensitivity analyses show that pure maximisation of financial profit can achieve the highest profit level, which also has the largest Euclidean distance to the multiple aspiration goals. In order to determine the final objective structure, an analytic hierarchy process (AHP) is used. This paper provides a new approach to assess and control a complex GSC based on value-chain activities, and obtain a more precise solution. The establishment of this GSC model not only helps decision-makers to monitor GSC comprehensive performance but also can facilitate further improvement and development of GSC management.     

A three-stage model for closed-loop supply chain configuration under uncertainty

In this paper, a general closed-loop supply chain (CLSC) network is configured which consists of multiple customers, parts, products, suppliers, remanufacturing subcontractors, and refurbishing sites. We propose a three-stage model including evaluation, network configuration, and selection and order allocation. In the first stage, suppliers, remanufacturing subcontractors, and refurbishing sites are evaluated based on a new quality function deployment (QFD) model. The proposed QFD model determines the relationship between customer requirements, part requirements, and process requirements. In addition, the fuzzy sets theory is utilised to overcome the uncertainty in the decision-making process. In the second stage, the closed-loop supply chain network is configured by a stochastic mixed-integer nonlinear programming model. It is supposed that demand is an uncertain parameter. Finally in the third stage, suppliers, remanufacturing subcontractors, and refurbishing sites are selected and order allocation is determined. To this end, a multi-objective mixed-integer linear programming model is presented. An illustrative example is conducted to show the process. The main novel innovation of the proposed model is to consider the CLSC network configuration and selection process simultaneously, under uncertain demand and in an uncertain decision-making environment.     

An integrated weighted fuzzy multi-objective model for supplier selection and order scheduling in a supply chain

This paper presents a new weighted fuzzy multi-objective model to integrated supplier selection, order quantity allocation and customer order scheduling problem to prepare a responsive and order-oriented supply chain in a make-to-order manufacturing system. Total cost and quality of purchased parts as well as the reliability of on-time delivery of customer orders are regarded as the objectives of the model. On the other hand, flexible suppliers can contribute to the responsiveness and flexibility of entire supply chain in the face of uncertain customer orders. Therefore, a mathematical measure is developed for evaluating the volume flexibility of suppliers and is considered as the other objective of the model. Furthermore, by considering the effect of interdependencies between the selection criteria and to handle inconsistent and uncertain judgments, a fuzzy analytic network process method is used to identify top suppliers and consider as the last objective. In order to optimise these objectives, the decision-maker needs to decide from which supplier to purchase parts needed to assemble the customer orders, how to allocate the demand for parts between the selected suppliers, and how to schedule the customer orders for assembled products over the planning time horizon. Numerical examples are presented and computational analysis is reported.     

Supplier selection based on supply chain ecosystem,performance and risk criteria

A supply chain ecosystem consists of the elements of the supply chain and the entities that influence the goods, information and financial flows through the supply chain. These influences come through government regulations, human, financial and natural resources, logistics infrastructure and management, etc., and thus affect the supply chain performance. Similarly, all the ecosystem elements also contribute to the risk. The aim of this paper is to identify both performances-based and risk-based decision criteria, which are important and critical to the supply chain. A two step approach using fuzzy AHP and fuzzy technique for order of preference by similarity to ideal solution has been proposed for multi-criteria decision-making and illustrated using a numerical example. The first step does the selection without considering risks and then in the next step suppliers are ranked according to their risk profiles. Later, the two ranks are consolidated into one. In subsequent section, the method is also extended for multi-tier supplier selection. In short, we are presenting a method for the design of a resilient supply chain, in this paper.     

产品生命周期过程(横向集成)供应商选择模型研究

通过分析集成化供应链管理环境下供应商选择过程,给出了选择指标体系及选择步骤。在此基础上,建立了“横向”集成型企业供应商选择的模糊综合评价选择模型。应用此模型可对选择最满意的供应商做出相应的决策。     

Global supplier selection: a fuzzy-AHP approach

Global supplier selection has a critical effect on the competitiveness of the entire supply chain network. Research results indicate that the supplier selection process appears to be the most significant variable in deciding the success of the supply chain. It helps in achieving high quality products at lower cost with higher customer satisfaction. Apart from the common criteria such as cost and quality, this paper also discusses some of the important decision variables which can play a critical role in case of the international sourcing. The importance of the political-economic situation, geographical location, infrastructure, financial background, performance history, risk factors, etc., have also been pointed out in particularly in the case of global supplier selection. Supplier selection problem related to the global sourcing is more complex than the general domestic sourcing and as a result it needs more critical analysis, which could not be found properly in past available literatures. This paper discusses the fuzzy based Analytic Hierarchy Process (fuzzy-AHP) to efficiently tackle both quantitative and qualitative decision factors involved in selection of global supplier in current business scenario. The fuzzy-AHP is an efficient tool to tackle the fuzziness of the data involved in deciding the preferences of the different decision variables involved in the process of global supplier selection. The triangular fuzzy numbers are used to transform the linguistic comparison of the different decision criteria, sub-criteria and performance of the alternative suppliers. The pairwise comparison matrices help in deciding the synthetic extent value of each comparison and finally, the priority weights of one alternative over another are decided in this paper. An example from a manufacturing industry searching for the global supplier for a critical component is used to demonstrate the effective implementation procedure of proposed fuzzy-AHP technique. The proposed model can provide the guidelines and directions for the decision makers to effectively select their global suppliers in the current competitive business scenario.     

Maintenance policy selection in manufacturing firms using the fuzzy MCDM approach

In manufacturing firms, there is a critical need for proper maintenance of manufacturing facilities. The maintenance process enhances customer satisfaction and reliability of the products, and increases the profit of the manufacturer. Therefore, a proper maintenance policy selection is a critical issue for manufacturers, as an inefficient maintenance policy affects not only the direct cost of the firm but also the other aspects. In the present study, maintenance policy selection at the level of the firm rather than the equipment level is shown, and for selection various criteria have been identified. The presented work not only provides the best alternatives but also provides an alternative ranking, which facilitates decision-makers in choosing alternatives according to their constraints. These selection criteria are different in nature, as some give a crisp value, whereas others are defined in linguistic terms. To select the appropriate maintenance policy, a distance-based fuzzy multicriteria decision-making (MCDM) approach has been employed. The proposed method provides the means for integrating the economic figure of merit with the strategic performance variables. The MCDM approach is efficient in incorporating data, in the form of linguistic variables, triangular fuzzy numbers, and crisp numbers, into the evaluation process of maintenance policy alternatives. A comprehensive example illustrates the application of the distance-based fuzzy MCDM approach.