Integration of fuzzy ANP and fuzzy TOPSIS for evaluating carbon performance of suppliers

Abstract

Previous studies have proven that enterprises addressing green supply chain management problem may produce an apparent improvement to their stockholder interests. According to the report of Kearney (Carbon Disclosure Project: supply chain report 2010. CDP, London, 2010), more than 80 % of the carbon emissions are generated from the suppliers’ activities in a company’s performance. Many members of the project claimed that they will reassess their suppliers as soon as possible. Therefore, to combine the carbon management issue and supplier evaluating problem turns to be a very crucial work. Therefore, this study intends to develop a framework of the supplier evaluating process for carbon management by integrating fuzzy ANP and fuzzy TOPSIS approaches. Thirteen criteria of carbon management under four dimensions were identified by literature review and modified according to the opinion of seven experts in the environmental department. The model result in a case company shows that three of the most important criteria are “carbon governance,” “carbon policy” and “carbon reduction targets.” The proposed hybrid methodology has great ability to explain the vagueness of decision maker’s expression and better discrimination power to evaluate suppliers in carbon management.