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Resilient and sustainable supplier selection via a new framework: a case study from the steel industry

Author

Listed:
  • Roya Ghamari

    (Iran University of Science &Technology)

  • Mohammad Mahdavi-Mazdeh

    (Iran University of Science &Technology)

  • Seyed Farid Ghannadpour

    (Iran University of Science &Technology)

Abstract

This study addresses the problem of selecting a supplier bound by sustainability and resilience criteria, focusing on the steel industry as a case in point. A new framework has been presented for the evaluation of suppliers in this study where thirty-two factors are first recognized based on previous publications and fourteen appropriate factors among them are selected based on expert opinions. Then, Interpretive Structural Modelling is used to study the reciprocal effects of factors and MICMAC analysis is performed to select the critical factors among the fourteen factors. Afterward, the Best–Worst Method is performed for weighting the critical factors. Eventually, the Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) is applied for ranking the suppliers. The results show that the criteria with higher driving powers and lower dependence have higher weights in the Best–Worst Method. Gilan steel company in Iran is examined as a case study in the steel industry to verify the efficiency of the proposed framework. A comparative analysis is performed showing that taking resilience criteria into account alters the supplier ranking results, making these criteria important from a managerial point of view. It is also suggested to managers to consider all four dimensions of these criteria when evaluating suppliers. It is observed that the reputation and position of the supplier in the industry, availability of a support supplier, strategic stock, sensitivity to the political situation, pollution control, social responsibility, and flexibility in service are the main factors to consider.

Suggested Citation

  • Roya Ghamari & Mohammad Mahdavi-Mazdeh & Seyed Farid Ghannadpour, 2022. "Resilient and sustainable supplier selection via a new framework: a case study from the steel industry," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(8), pages 10403-10441, August.
    • Handle: RePEc:spr:endesu:v:24:y:2022:i:8:d:10.1007_s10668-021-01872-5
    DOI: 10.1007/s10668-021-01872-5
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