A Hybrid Approach using AHP-TOPSIS for Analyzing e-SCM Performance

Abstract

To sustain in this competitive environment, it is required for organizations to implement information technology (IT) based functions with their supply chain management (SCM) system. The objective of this research is to select a best alternative with an aim to improve electronic supply chain management (e-SCM) performance of Indian automobile industry located at Delhi region. To accomplish the aim, a hierarchy based model has been developed through considering eight criteria and five alternatives. The considered alternatives namely are: investment in web based technologies, investment in advanced manufacturing technologies, role of top management, role of supplier and supply chain integration. The developed model has been analyzed to select a best alternative using analytic hierarchy process (AHP) and technique for order preference by similarity to ideal solution (TOPSIS) as a hybrid approach. Analysis reveals that the alternative, ‘investment in web based technologies’ holds first rank among all considered alternatives and can play a vital role in improving the e-SCM performance of an organization. The outcomes of this research enable mangers to make better decisions during framing strategies in improving e-SCM performance of an organization effectively.