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A customer based supplier selection process that combines quality function deployment, the analytic network process and a Markov chain

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  • Asadabadi, Mehdi Rajabi

Abstract

The overall objective of this paper is to introduce a customer oriented supplier selection method. Although the supplier selection problem has previously been investigated, an effective solution to consider the dynamics of Customer Needs (CNs) in finding the best supplier has not yet been proposed. Such a method takes into account customer needs as a determinant factor in finding the best supplier and considers possible changes in the priorities of customer needs as time passes. In this study a method integrating the analytic network process (ANP), quality function deployment (QFD), and a Markov chain is used to address the supplier selection problem. This proposed method utilizes a Markov chain to trace the changing-priorities of customer needs and find a pattern for them. The ANP–QFD method then connects this pattern to product requirements (PRs) and PRs to supplier qualifications. This combination develops a customer based supplier selection method. The best supplier is selected based on the changing-priorities of customer needs. Although the customer needs priorities keeps changing, one supplier is selected as the best one. This study introduces an innovative customer based approach to select the best supplier that is independent of initial CNs.

Suggested Citation

  • Asadabadi, Mehdi Rajabi, 2017. "A customer based supplier selection process that combines quality function deployment, the analytic network process and a Markov chain," European Journal of Operational Research, Elsevier, vol. 263(3), pages 1049-1062.
  • Handle: RePEc:eee:ejores:v:263:y:2017:i:3:p:1049-1062
    DOI: 10.1016/j.ejor.2017.06.006
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    2. Eleonora Bottani & Piera Centobelli & Teresa Murino & Ehsan Shekarian, 2018. "A QFD-ANP Method for Supplier Selection with Benefits, Opportunities, Costs and Risks Considerations," International Journal of Information Technology & Decision Making (IJITDM), World Scientific Publishing Co. Pte. Ltd., vol. 17(03), pages 911-939, May.
    3. Asadabadi, Mehdi Rajabi & Zwikael, Ofer, 2021. "Integrating risk into estimations of project activities' time and cost: A stratified approach," European Journal of Operational Research, Elsevier, vol. 291(2), pages 482-490.
    4. Bruno Damásio & João Nicolau, 2020. "Time Inhomogeneous Multivariate Markov Chains: Detecting and Testing Multiple Structural Breaks Occurring at Unknown," Working Papers REM 2020/0136, ISEG - Lisbon School of Economics and Management, REM, Universidade de Lisboa.
    5. Amin Mahmoudi & Saad Ahmed Javed, 2022. "Probabilistic Approach to Multi-Stage Supplier Evaluation: Confidence Level Measurement in Ordinal Priority Approach," Group Decision and Negotiation, Springer, vol. 31(5), pages 1051-1096, October.
    6. Ji Chen & Shouzhen Zeng & Chonghui Zhang, 2018. "An OWA Distance-Based, Single-Valued Neutrosophic Linguistic TOPSIS Approach for Green Supplier Evaluation and Selection in Low-Carbon Supply Chains," IJERPH, MDPI, vol. 15(7), pages 1-15, July.
    7. Ana Paula Lopes & Nuria Rodriguez-Lopez, 2021. "A Decision Support Tool for Supplier Evaluation and Selection," Sustainability, MDPI, vol. 13(22), pages 1-17, November.
    8. Seyed Hossein Razavi Hajiagha & Jalil Heidary-Dahooie & Ieva Meidutė-Kavaliauskienė & Kannan Govindan, 2022. "A new dynamic multi-attribute decision making method based on Markov chain and linear assignment," Annals of Operations Research, Springer, vol. 315(1), pages 159-191, August.
    9. Junyi Zhong & Jiazhen Huo, 2023. "How Does Green Store Brand Introduction Influence the Effects of Government Subsidy on Supply Chain Performance?," Mathematics, MDPI, vol. 11(14), pages 1-22, July.
    10. Jing Liu & Khairul Manami Kamarudin & Yuqi Liu & Jinzhi Zou, 2021. "Developing Pandemic Prevention and Control by ANP-QFD Approach: A Case Study on Urban Furniture Design in China Communities," IJERPH, MDPI, vol. 18(5), pages 1-26, March.

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