A hybrid normalised multi criteria decision making for the vendor selection in a supply chain model

Abstract

This paper aims to develop an effective and efficient hybrid normalised multi criteria decision making model for evaluating and selecting the vendor using an Analytical Hierarchy Process (AHP) and Fuzzy Analytical Hierarchy Process (FAHP) and an integrated approach of Grey Relational Analysis (GRA) in a Supply Chain Model (SCM). The first part of the model deals with the selection of vendor using AHP and FAHP. The second part of the model deals with a hybrid approach of AHP along with GRA and FAHP along with GRA. This paper demonstrates how the model can help in solving such decisions in practice. The effectiveness of the hybrid model is illustrated using a case study taken in paper manufacturing industry located in southern part of India and validated the results of hybrid model using the result obtained from AHP and FAHP. The proposed model helps the industry to effectively select the vendor.