Developing a multi-attribute decision aid model for selection of a weather radar supplier

Abstract

Selecting a supplier for highly technical and expensive equipment as a weather radar is a very demanding process and a critical management task for procurement team. For such problems, the use of multiple criteria analysis is welcome. This paper introduces a decision aid model for weather radar supplier selection using a multi-attribute approach for public purchase procedures. As a model application, we developed the framework on a real public procurement to expand the weather radar network in Brazil, where two attributes were in conflict (cost and technical). The proposed model was demonstrated to be very useful in understanding the trade-off between cost and technical attributes, based on the stakeholders’ preferences. The model also supported the decision-maker in the negotiation process to receive better commercial or technical proposals from the buyers’ perspective. Based on these findings, it is advocated that for highly specialised equipment, a single attribute method centred on the lowest-cost bid is no longer supportive and robust enough in contemporary supplier selection. Modelling a multi-attribute decision process could also be a guide to improve interaction with expert and management teams in future weather radar selection evaluations.