IDEAS home Printed from https://ideas.repec.org/h/spr/advbcp/978-94-6239-622-7_34.html

Sustainable supplier selection: A comparative study of VIKOR, TOPSIS, and alternative ranking methods

In: Proceedings of the International Conference on Emerging Challenges: Business Dynamics in Disruptive Economy (ICECH 2025)

Author

Listed:
  • Nguyen Huong Giang

    (Hanoi University of Science and Technology, Faculty of Business, School of Economics and Management)

  • Duong Manh Cuong

    (Hanoi University of Science and Technology, Faculty of Business, School of Economics and Management)

Abstract

Supplier selection has become an increasingly important issue in supply chain management, particularly in contexts where efficiency, sustainability, and competitiveness are essential for long-term success. To support decision-making in this complex environment, multi-criteria decision-making (MCDM) approaches provide a structured and objective way of evaluating suppliers across diverse performance dimensions. This study employs an integrated methodological framework that begins with data normalization and objective weight determination through entropy, followed by the application of established MCDM techniques to rank suppliers. By using quantitative data and a systematic evaluation procedure, the research ensures transparency and reduces subjectivity in the decision-making process. The results show that while there is overall consistency in identifying strong and weak supplier candidates, differences arise depending on the methodological perspective used. These variations highlight how different approaches emphasize distinct aspects of supplier performance, such as overall balance, relative distance, or outranking strength. Despite these differences, the convergence of findings strengthens confidence in the reliability of the evaluation process. Research purpose: This study aims to develop a robust decision-making framework for sustainable supplier selection in the electronics industry. By integrating entropy and interval entropy weighting with three prominent multi-criteria decision-making (MCDM) methods—TOPSIS, VIKOR, and ELECTRE—the research seeks to provide objective, transparent, and comprehensive evaluations of suppliers. Research motivation: Supplier selection has become increasingly complex under the growing demand for sustainability and resilience in global supply chains. Traditional methods relying solely on expert judgment often introduce subjectivity and bias. Therefore, there is a pressing need for data-driven, systematic approaches that capture both quantitative and qualitative performance indicators while also revealing the methodological sensitivity of MCDM techniques. Research design, approach, and method: A dataset of electronics suppliers was assessed using a two-step methodology. First, entropy and interval entropy were applied to determine objective weights for quantitative and qualitative criteria. Second, suppliers were ranked through TOPSIS, VIKOR, and ELECTRE, with Spearman correlation employed to analyze the consistency and divergence among results. This design ensures a balanced evaluation across distance-based, compromise-based, and outranking approaches. Main findings: The study reveals that the choice of method significantly affects supplier ranking outcomes. TOPSIS and ELECTRE demonstrate high consistency in identifying leading suppliers, whereas VIKOR highlights compromise alternatives that balance overall performance with risk considerations. The comparative analysis further indicates both convergence and divergence among the three methods, underscoring the importance of methodological pluralism in achieving reliable and transparent supplier selection. Practical/managerial implications: The study provides actionable insights for procurement managers by demonstrating the value of applying multiple MCDM methods in parallel. Decision-makers can leverage TOPSIS and ELECTRE for robust identification of best-in-class suppliers, while VIKOR offers compromise solutions that balance utility and risk. This multi-method framework enhances transparency, reduces reliance on subjective judgment, and supports more resilient and sustainable supplier decisions in the electronics sector.

Suggested Citation

  • Nguyen Huong Giang & Duong Manh Cuong, 2026. "Sustainable supplier selection: A comparative study of VIKOR, TOPSIS, and alternative ranking methods," Advances in Economics, Business and Management Research, in: Nguyen Danh Nguyen & Pham Thi Kim Ngoc (ed.), Proceedings of the International Conference on Emerging Challenges: Business Dynamics in Disruptive Economy (ICECH 2025), pages 551-566, Springer.
  • Handle: RePEc:spr:advbcp:978-94-6239-622-7_34
    DOI: 10.2991/978-94-6239-622-7_34
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a
    for a similarly titled item that would be available.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    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:spr:advbcp:978-94-6239-622-7_34. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    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.