Abstract

The ordering and transportation of raw materials have an important impact on the operations of enterprises. In this paper, the importance of suppliers is measured by three indicators, namely, suppliers' supply efficiency, supply capability and reputation. Based on the three evaluation indicators, the evaluation system of supplier importance is developed, and the TOPSIS evaluation method is used to rank the suppliers. After pre-processing the given data, we set up a multi-objective optimization model with the objectives of minimum number of suppliers, minimum expected total cost of raw materials and minimum amount of loss in transit, and figured out the minimum loss of raw materials of 4526.066 cubic meters. The correctness and validity of the model were demonstrated by comparing the loss of raw materials in the last five years.

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