An Integrated AHP-QFD-Based Compromise Ranking Model for Sustainable Supplier Selection

Author(s):  
Morteza Yazdani ◽  
Prasenjit Chatterjee ◽  
Ali Ebadi Torkayesh

Sustainability in industrial organizations has become a predominant concept in the 21st century due to environmental regulations, economic importance, and social obligations. In this context, sustainable supplier selection plays an epochal role for taking strategic business decisions. So, a systematic approach is required to deal with the sustainable factors. By integrating the three pillars of sustainability, namely economic, environmental, and social factors, this chapter presents an integrated model for supplier selection from a sustainability perspective. The proposed framework combines analytic hierarchy process (AHP) and quality function deployment (QFD) methods to deal with the sustainable criteria. Finally, suppliers are ranked using VIse Kriterijumska Optimizacija kompromisno Resenja (VIKOR) method. The proposed framework is used to analyze a case study of a dairy company, but it can also be implemented for sustainable supplier selection in any industries. The study brings an artefact for managers to effectively analyze suppliers with the integrated decision-making model.

2012 ◽  
Vol 1 (2) ◽  
pp. 80-92 ◽  
Author(s):  
Chintala Venkateswarlu ◽  
A. K. Birru

Quality function deployment (QFD) is a methodology that extracts client demands (CDs) and inducting them in the final service/product. Once CDs are extracted from client the traditional QFD approach uses absolute importance to identify the degree of importance for each CD. Direct evaluation of CDs based on absolute weighting without tradeoffs is easy to perform, but may lead to serious deviations from reality. An alternative to avoid this problem is to adopt the analytic hierarchy process (AHP) approach. In this paper, an integrated model combining AHP and QFD has been delineated as a quality achievement tool in healthcare. A case study is performed on the healthcare services provided by government general hospital, Indore District, Madhya Pradesh, India and data has been analyzed to benchmark the proposed framework by computing the degree of relative importance for CDs through AHP and incorporating them in subsequent deployment matrices.


Author(s):  
Rodrigo Barbosa de Santis ◽  
Leonardo Golliat ◽  
Eduardo Pestana de Aguiar

The supplier selection problem has been discussed in literature within the supply chain management subject and it is extremely important due to its impact on the entire supply chain configuration, strategy and performance. This work presents a decision model based on the fuzzy analytic hierarchy process method and its application in a real case of maintenance supplier selection in a large Brazilian railway operator. Eight criteria were adopted - technical capacity, financial status, relationship, operations management, security management, infrastructure, historic performance and costs - for evaluating five potential suppliers. In the case study, both first and second ranked suppliers by the method have been selected by the company for providing the services and the model was adopted as a standard procedure within the organization for contracts over US$ 300,000.


Author(s):  
Zafar Iqbal ◽  
Nigel Peter Grigg

PurposeQuality function deployment (QFD) is a quality improvement methodology using a system of interrelated matrices, where the influence of any one matrix may meaningfully change the concluding outcomes. In these interconnected matrices, the voice of customer (VOC) matrix and competitor matrix have a strong relationship. The current practice of finding improvement ratios (IRs) does not incorporate competitors' rating in a way that fully utilises competitors' rating information. The aim of this article to enhance VOC importance ratings by utilising the application of analytic hierarchy process (AHP) combined with the geometric mean (GM).Design/methodology/approachThe current practice of computing IRs may divert QFD practitioners' attention from a potentially important VOC to less important VOC. In the first step using the existing competitors' ratings, a matrix of multiple comparisons is generated for all competitors. In the second step GM for each VOC is integrated with present VOC importance ratings to set new ratings.FindingsA QFD case study from the published literature is used to illustrate the application of new method. It is described how the existing results of the case study may divert to flawed decisions. It is further corroborated that in this way re-ranking of existing VOCs better achieve the goal of customer satisfaction in relation to VOC ratings and competitors' rankings.Originality/valueBy employing this method, competitor rating can be transformed to two dimensional results, which provide a better picture to practitioners in observing their company's position and in improving VOC rating as well.


2016 ◽  
Vol 11 (1) ◽  
pp. 326-354 ◽  
Author(s):  
Vinod Yadav ◽  
Milind Kumar Sharma

Purpose – The purpose of this paper is to propose a supplier selection model for an automobile company using analytic hierarchy process (AHP) approach. Supplier selection is now growing to be an important but complex issue, as it involves a large number of factors and decisions. These factors have complicated operational and financial implications. Design/methodology/approach – A case study of an Indian automobile company is used to illustrate and propose a supplier selection model using AHP approach. Findings – Key criteria of the supplier selection problem are identified based on the literature review and case study. Then, a model is proposed for supplier selection using AHP approach followed by a detailed sensitivity analysis. Practical implications – This paper contributes to supplier selection process, and points out the importance of supplier selection. It proposes a supplier selection model for an automobile industry which often faces heterogeneous supply environments. The proposed model provides key criteria for supplier selection in Indian context. This model may have high acceptability, where a large number of suppliers are available to supply the materials or provide the services. Originality/value – The proposed model can provide guidelines and directions for managers involved in purchasing function to effectively select suppliers on the basis of the identified criteria in the heterogeneous manufacturing environment.


Author(s):  
Anirban Ganguly ◽  
Donald N Merino

<p>A major challenge for decision makers in business organization is making appropriate choices among competing high-tech projects. The objective of this paper is to explore a multi-criteria analytical model that can be used for the selection and management of competing manufacturing technologies. The model uses an integrated approach combining Analytic Hierarchy Process (AHP) and Quality Function Deployment (QFD) as the basis for selecting a preferred alternative from a set of competing projects. Integration of the two techniques helps to provide a more effective selection process. Two competing chemical processes to produce drugs are used as a case study to demonstrate and validate the AHP – QFD model. The policy makers of pharmaceutical and chemical organizations can use this model as a part of their strategic planning and decision-making process.</p>


Transport ◽  
2015 ◽  
Vol 33 (1) ◽  
pp. 119-130 ◽  
Author(s):  
Antonio Palacio ◽  
Belarmino Adenso-Díaz ◽  
Sebastián Lozano

In this paper, the design of a maritime container depot logistic network in a hinterland is studied. Containers are a basic tool in multimodal product transportation and all related operations have an impact on the environment due to different externalities such as noise, atmospheric and visual pollution. A three objective optimization model is used to minimize the total network cost, the environmental impact generated by the road transport operations associated with the depots (TI) and the environmental impact generated by the setting up and maintenance of the depots (FI). To determine the environmental impacts of each depot, Fuzzy Analytic Hierarchy Process (F-AHP) is used in both cases. In addition, a fuzzy multiobjective optimization approach has been used to solve the problem. The application case study is based on the Port of Valencia (Spain).


Author(s):  
Niloofar Katiraee ◽  
Babak Shirazi ◽  
Hamed Fazlollahtabar

One of the substantial concerns in any large scale enterprises is the process of evaluating, selecting and improving suppliers due to the involvement of many uncontrollable and unavoidable factors. To address this issue in industry, suppliers are selected in the context of a resilient supply chain since it is one way to overcome disruptions. Selection of suppliers involves a variety of both qualitative and quantitative attributes. This research proposes the five main criteria of supplier selection which are chosen based on vulnerable areas and production requirements to develop flexibility in procuring material. In order to select appropriate suppliers for optimal order allocation the fuzzy multi-objective linear programming (FMOLP) is proposed which overcomes the vagueness of the information. Also to calculate the importance of each criterion fuzzy analytic hierarchy process (FAHP) is used. Finally, the practical usefulness of the proposed method is ascertained through a case study in steel industry.


2019 ◽  
Vol 21 (3) ◽  
pp. 351-371
Author(s):  
Anirban Ganguly ◽  
Chitresh Kumar ◽  
Debdeep Chatterjee

Supplier selection is the process by which firms identify, evaluate and contract with suppliers. The supplier selection process deploys a tremendous amount of a firm’s operational and financial resources and is considered as an important determinant of the success of its supply chain. In spite of being strategically important to organizations, the decision for supplier selection is often complex and unstructured. Furthermore, it is inherently a multi-criterion decision-making (MCDM) problem, which pertains to structuring and solving decision problems involving multiple criteria. The paper provides a framework to analyze and evaluate supplier selection in Indian pharmaceutical sector (IPS) using MCDM technique of fuzzy analytic hierarchy process. It intends to improve managerial decision-making in the IPS in developing a supplier selection strategy based on multi-criteria evaluation technique.


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