A multi-criteria decision framework for sustainable supplier selection and order allocation using multi-objective optimization and fuzzy approach

Abstract

ABSTRACT With the growing social and environmental concerns, the integration of sustainability in supplier selection and order allocation is of paramount importance. This research presents a holistic multi-phase decision-support framework to solve the sustainable supplier selection and order allocation problem for the multi-echelon supply chain. The framework comprises a multi-objective mixed-integer nonlinear programming mathematical model augmented with fuzzy multi-criteria decision making techniques and forecast demand. The various economic, environmental and social objectives were optimized for a multi-modal transportation network of a multi-echelon supply chain. The results of the mathematical model highlighted the impact of multi-modal transportation on the total cost and total travel time. The results also demonstrated the relationship between the multi-modal transport network and the environmental impact of the supply chain. The proposed multi-phase holistic decision support framework can be used in the comprehensive sustainability-based analysis of supply chains.