IDEAS home Printed from https://ideas.repec.org/h/zbw/entr16/183717.html
   My bibliography  Save this book chapter

Fuzzy Multicriteria Model for Ranking Suppliers in Manufacturing Company

In: Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference, Rovinj, Croatia, 8-9 September 2016

Author

Listed:
  • Stević, Željko
  • Tanackov, Ilija
  • Vasiljević, Marko
  • Vesković, Slavko

Abstract

By using the methods of multi-criteria analysis it is possible to make decisions which have significant influence on companies' business. The aim of this paper is to evaluate different suppliers using the integrated model that recognizes a combination of fuzzy AHP (Analytical Hierarchy Process) and the COPRAS method. Based on six criteria, the expert team was formed to compare them, so determination of their significance is being done with fuzzy AHP method. Expert team also compares suppliers according to each criterion and on the base of triangular fuzzy numbers. Based on their inputs, COPRAS method is used to estimate potential solutions. Suggested model accomplishes certain advantages in comparison with previously used traditional models which were used to make decisions about evaluation and choice of supplier. It is vital to make the right decision when selecting a supplier, because the optimal choice ensures lower cost and higher quality of the product itself, and therefore more competitiveness in the market.

Suggested Citation

  • Stević, Željko & Tanackov, Ilija & Vasiljević, Marko & Vesković, Slavko, 2016. "Fuzzy Multicriteria Model for Ranking Suppliers in Manufacturing Company," Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference (2016), Rovinj, Croatia, in: Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference, Rovinj, Croatia, 8-9 September 2016, pages 196-203, IRENET - Society for Advancing Innovation and Research in Economy, Zagreb.
    • Handle: RePEc:zbw:entr16:183717
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/183717/1/28-ENT16-Stevic.Tanackov.Vasiljevic.Veskovic-196-203.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Chen, Chen-Tung & Lin, Ching-Torng & Huang, Sue-Fn, 2006. "A fuzzy approach for supplier evaluation and selection in supply chain management," International Journal of Production Economics, Elsevier, vol. 102(2), pages 289-301, August.
    2. Chan, Felix T.S. & Kumar, Niraj, 2007. "Global supplier development considering risk factors using fuzzy extended AHP-based approach," Omega, Elsevier, vol. 35(4), pages 417-431, August.
    3. Yoram Wind & Thomas L. Saaty, 1980. "Marketing Applications of the Analytic Hierarchy Process," Management Science, INFORMS, vol. 26(7), pages 641-658, July.
    4. Morad Benyoucef & Mustafa Canbolat, 2007. "Fuzzy AHP-based supplier selection in e-procurement," International Journal of Services and Operations Management, Inderscience Enterprises Ltd, vol. 3(2), pages 172-192.
    5. Thomas L. Saaty & Luis G. Vargas, 2012. "Models, Methods, Concepts & Applications of the Analytic Hierarchy Process," International Series in Operations Research and Management Science, Springer, edition 2, number 978-1-4614-3597-6, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Devesh Kumar & Gunjan Soni & Rohit Joshi & Vipul Jain & Amrik Sohal, 2022. "Modelling supply chain viability during COVID-19 disruption: A case of an Indian automobile manufacturing supply chain," Operations Management Research, Springer, vol. 15(3), pages 1224-1240, December.
    2. Rihab Khemiri & Khaoula Elbedoui-Maktouf & Bernard Grabot & Belhassen Zouari, 2017. "A fuzzy multi-criteria decision making approach for managing performance and risk in integrated procurement-production planning," Post-Print hal-01758604, HAL.
    3. Md Monjurul Islam & Tofael Ahamed & Ryozo Noguchi, 2018. "Land Suitability and Insurance Premiums: A GIS-based Multicriteria Analysis Approach for Sustainable Rice Production," Sustainability, MDPI, vol. 10(6), pages 1-28, May.
    4. Tasneem Bani-Mustafa & Nicola Pedroni & Enrico Zio & Dominique Vasseur & Francois Beaudouin, 2020. "A hierarchical tree-based decision-making approach for assessing the relative trustworthiness of risk assessment models," Journal of Risk and Reliability, , vol. 234(6), pages 748-763, December.
    5. Hao-Chang Tsai & An-Sheng Lee & Huang-Ning Lee & Chien-Nan Chen & Yu-Chun Liu, 2020. "An Application of the Fuzzy Delphi Method and Fuzzy AHP on the Discussion of Training Indicators for the Regional Competition, Taiwan National Skills Competition, in the Trade of Joinery," Sustainability, MDPI, vol. 12(10), pages 1-19, May.
    6. Agnieszka Konys, 2019. "Green Supplier Selection Criteria: From a Literature Review to a Comprehensive Knowledge Base," Sustainability, MDPI, vol. 11(15), pages 1-41, August.
    7. Tseng, Fang-Mei & Chiu, Yu-Jing & Chen, Ja-Shen, 2009. "Measuring business performance in the high-tech manufacturing industry: A case study of Taiwan's large-sized TFT-LCD panel companies," Omega, Elsevier, vol. 37(3), pages 686-697, June.
    8. van der Rhee, Bo & Verma, Rohit & Plaschka, Gerhard, 2009. "Understanding trade-offs in the supplier selection process: The role of flexibility, delivery, and value-added services/support," International Journal of Production Economics, Elsevier, vol. 120(1), pages 30-41, July.
    9. Md. Arif Chowdhury & Hasnat Sabrina & Rashed Uz Zzaman & Syed Labib Ul Islam, 2022. "Green building aspects in Bangladesh: A study based on experts opinion regarding climate change," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(7), pages 9260-9284, July.
    10. Bottani, Eleonora & Rizzi, Antonio, 2008. "An adapted multi-criteria approach to suppliers and products selection--An application oriented to lead-time reduction," International Journal of Production Economics, Elsevier, vol. 111(2), pages 763-781, February.
    11. Uroš Kramar & Dejan Dragan & Darja Topolšek, 2019. "The Holistic Approach to Urban Mobility Planning with a Modified Focus Group, SWOT, and Fuzzy Analytical Hierarchical Process," Sustainability, MDPI, vol. 11(23), pages 1-29, November.
    12. Liu Fang & Peng Yanan & Zhang Weiguo & Pedrycz Witold, 2017. "On Consistency in AHP and Fuzzy AHP," Journal of Systems Science and Information, De Gruyter, vol. 5(2), pages 128-147, April.
    13. Daeryong Park & Myoung-Jin Um, 2018. "Robust Decision-Making Technique for Strategic Environment Assessment with Deficient Information," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 32(15), pages 4953-4970, December.
    14. Ping-Lung Huang & Bruce C.Y. Lee & Chen-Song Wang & Chi-Te Sun, 2017. "Relative Importance of the Factors under the ISO-10015 Quality Management Guidelines that Influence the Service Quality of Certification Bodies," Journal of Economics and Management, College of Business, Feng Chia University, Taiwan, vol. 13(1), pages 105-137, February.
    15. Aly Owida & P.J. Byrne & Cathal Heavey & Paul Blake & Khaled S. El-Kilany, 2016. "A simulation based continuous improvement approach for manufacturing based field repair service contracting," International Journal of Production Research, Taylor & Francis Journals, vol. 54(21), pages 6458-6477, November.
    16. Baskaran, Venkatesan & Nachiappan, Subramanian & Rahman, Shams, 2012. "Indian textile suppliers' sustainability evaluation using the grey approach," International Journal of Production Economics, Elsevier, vol. 135(2), pages 647-658.
    17. May, Jerrold H. & Shang, Jennifer & Tjader, Youxu Cai & Vargas, Luis G., 2013. "A new methodology for sensitivity and stability analysis of analytic network models," European Journal of Operational Research, Elsevier, vol. 224(1), pages 180-188.
    18. Babak Daneshvar Rouyendegh & Kazim Topuz & Ali Dag & Asil Oztekin, 2019. "An AHP-IFT Integrated Model for Performance Evaluation of E-Commerce Web Sites," Information Systems Frontiers, Springer, vol. 21(6), pages 1345-1355, December.
    19. Tiffany Hutcheson & Graeme Newell, 2018. "Decision-making in property Investment by Property Fund Managers," ERES eres2018_295, European Real Estate Society (ERES).
    20. Jiménez, Antonio & Mateos, Alfonso & Sabio, Pilar, 2013. "Dominance intensity measure within fuzzy weight oriented MAUT: An application," Omega, Elsevier, vol. 41(2), pages 397-405.

    More about this item

    Keywords

    Multi-criteria decision making; supplier evaluation; Fuzzy AHP; COPRAS; procurement; research; decision support systems;
    All these keywords.

    JEL classification:

    • C44 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Operations Research; Statistical Decision Theory
    • C52 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Evaluation, Validation, and Selection
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • M11 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Production Management
    • L6 - Industrial Organization - - Industry Studies: Manufacturing

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:zbw:entr16:183717. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ZBW - Leibniz Information Centre for Economics (email available below). General contact details of provider: https://www.entrenova.org/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.