Abstract
Vietnam’s garment industry is facing many challenges, including domestic competition and the global market. The free trade agreement, which Vietnam signed, includes environmental barriers, sustainable development, and green development. The agreement further requires businesses to make efforts to improve not only product quality but also the production process. In cases when enterprises cause environmental pollution in the production process and do not apply solutions to reduce waste, save energy, and natural resources, there is a risk of no longer receiving orders or orders being rejected, especially orders from the world’s major branded garment companies. In this research, the authors propose a multicriteria decision-making model (MCDM) for optimizing the supplier evaluation and selection process for the garment industry using sustainability considerations. In the first stage of this research, all criteria affecting supplier selection are determined by a triple bottom line (TBL) model (economic, environmental, and social aspects) and literature reviews; in addition, the fuzzy analytic hierarchy process (FAHP) method was utilized to identify the weight of all criteria in the second stage. The technique for order preference by similarity to an ideal solution (TOPSIS) is a multicriteria decision analysis method, which is used for ranking potential suppliers in the final stage. As a result, decision-making unit 10 (DMU/10) is found to be the best supplier for the garment industry. The contribution of this research includes modeling the supplier selection decision problem based on the TBL concept. The proposed model also addresses different complex problems in supplier selection, is a flexible design model for considering the evaluation criteria, and is applicable to supplier selection in other industries.
Highlights
Vietnam’s garment industry is experiencing a high growth rate
Results of this study indicate that the four dominant criteria are commitment of senior management to green supply chain management (GSCM); product designs that reduce, reuse, recycle, or reclaim materials, components, or energy; compliance with legal environmental requirements and auditing programs; and product designs that avoid or reduce toxic or hazardous material use
The authors propose an Multi-criteria decision making (MCDM) model for sustainable supplier evaluation and selection in the garment industry, based on the triple bottom line (TBL) approach
Summary
Vietnam’s garment industry is experiencing a high growth rate. The number of related companies has continued to increase over the years, and the industry size is gaining in all resources [1]. The target is a large domestic market with more than 86 million people and potential customers in the garment industry [1]. The textile and garment industry has experienced a good growth rate; exports in 2017 were over USD 31 billion, up more than 10% compared with those of the previous year [1]. The garment industry has a sustainable economic development, it is Processes 2019, 7, 400; doi:10.3390/pr7070400 www.mdpi.com/journal/processes. Achieving sustainability in garment business operations must involve considering more than just economic development
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