Supplier Selection Criteria Research Articles

Critical Factors to Overcome Project Scope Creep in the Oil and Gas Industry

This study aims to determine procurement and project management critical factors to develop procurement strategy with stakeholders to eliminate Project Scope Creep (PSC) risks in the oil & gas (O&G) sector. Analytical Hierarchy Process (AHP) methodology is applied to prioritize the critical factors from Tendering Management (TM), Contract Quality (CQ), and Project Management (PM) criteria to solve the PSC problem. Data from eight managerial levels and two specialists from procurement and project departments of two O&G companies in the UAE context. The study revealed that there are six factors out of fifteen, which are critical factors from procurement management; i.e., 1) tender strategy 2) tender clarifications meetings and negotiation 3) tender document preparation 4) techno-commercial bids evaluation & award 5) well-written contracts and 6) supplier selection criteria. This study provides managers with tools and strategies for successful project management practices in the UAE.

Circular supplier selection in the construction industry: A sustainability perspective for the emerging economies

Supplier selection is one of the most important multi-criteria problems in supply chain management (SCM). Most of the existing decision-making frameworks for selecting suppliers in the construction industry have given priority to criteria such as cost, delivery, and quality. However, due to the current emphasis on achieving sustainability and reducing environmental impact, organizations are increasingly embracing circular economy (CE) principles. In this study, thereby, we proposed an integrated multiple-criteria decision-making (MCDM) framework, which is comprised of a fuzzy analytical hierarchy process (FAHP) and a preference ranking organization method for enrichment of evaluations II (PROMETHEE II) for circular supplier selection in the construction industry from the perspective of countries with emerging economies. In the proposed framework, FAHP was used to first identify the weight of each criterion and sub-criteria, and PROMETHEE II was used to rank the suppliers from best to worst. Results showed that on-time delivery, conformance to specifications, and rejection rate are the top three criteria for supplier selection. Additionally, the top three circular supplier selection criteria included pollution control initiatives, green packaging, and responses toward environmental regulations and standards. The result of this approach has been compared with another MCDM method, namely the weighted aggregated sum product assessment (WASPAS) method, which validated the accuracy and efficiency of the proposed approach. Through the implementation of circular supplier selection, the proposed research is expected to reinforce the circular supply chain model, which can help managers in the construction sector to improve the sustainability of their overall business.

Criteria for the Selection of Suppliers: A Case of Motorcycle Industry of Pakistan

Purpose: Supplier selection is receiving considerable attention these days; firms are investing heavily in finding those suppliers who can give them better quality products in lowest possible cost. This paper reveals the appropriate supplier selection criteria in motorcycle industry of Pakistan and this paper also reveals whether this selection differ in different regions or it is uniform in its nature.
 Methodology: For this we have adopted a questionnaire from Supplier Selection Instrument and make it filled from Purchase managers of 24 different companies from different locations. Non probability sampling technique was used. Specifically quota sampling was used to make sure sample is equally represented across region then factor analysis was run to see which items were appropriate in Pakistani settings.
 Findings: Result shows that companies prefer those suppliers who are offering better service and quality features to the manufacturing companies. And supplier selection in Lahore and Karachi is similar but supplier selections in other regions of Punjab are different.
 Implications: Companies should consider those suppliers, having strategic importance to their firm so they should built consensus between the company and the supplier that every decision will be made through mutual collaboration. Companies should make relationship with their suppliers and try to make transparency in business transactions.

A group decision‐making algorithm considering interaction and feedback mechanisms for dynamic supplier selection under q‐ rung orthopair fuzzy information

Supplier selection is vital for enterprises to operate stably and achieve and sustain a competitive advantage. However, from the initial establishment to the gradual development and maturity of the enterprise, the supplier selection criteria change dynamically, and decision-makers are hardly in agreement in each stage, which creates challenges for enterprises when choosing suitable suppliers. As such, this paper proposes a multicriteria group decision-making method based on an interaction and feedback mechanism (IFM) and q-rung orthopair fuzzy sets theory. We introduce an IFM to achieve consensus among different decision-makers. We then develop the q-rung orthopair fuzzy weighted partitioned Bonferroni mean (q-ROFWPBM) operator to address the aggregation problem of dynamic multicriteria. A group decision-making algorithm combining the IFM and q-ROFWPBM operator is proposed to analyze the Hongxing Erke supplier selection. The results show that the proposed method can not only account for large differences of opinion among decision-makers during group decision-making but also consider the dynamic changes of supplier selection criteria in different stages of enterprise development and help enterprises choose suppliers suitable for their own development characteristics.

Analysis of Pump Factory Supplier Selection Criteria Using AHP Method (Pt. XYZ Jakarta)

This study was structured to analyze the selection of suppliers at PT. XYZ (JAKARTA) which is a pump manufacturing company based in Jakarta. The object of this research is the management of PT. XYZ (JAKARTA). There are five criteria that have been determined by the management of PT. XYZ (JAKARTA), Price, Service, Company Condition, Quality and Delivery. Each criterion has also been determined sub-criteria to be more specific in the selection. Respondents for this study were managers and assistant managers who were directly related to the production process at PT. XYZ (JAKARTA). Determination of supplier selection criteria is calculated based on the weight of the criteria and the weight of the sub-criteria; the weighting of these criteria is carried out through the Analytical Hierarchy Process method. From the research results obtained the main criteria in the selection of suppliers are Quality, Delivery, Company Condition, Service and Price. The Consistency Ratio value of the five main criteria is at the tolerance limit (0.1), which states that the respondents' answers are included in the valid and consistent category.

Optimization in apparel supply chain using Artificial Neural Network

Labour costs in the apparel manufacturing industry in Bangladesh have increased dramatically. Hence, there is no alternative way to optimize the apparel supply chain to survive in the competitive market. In this study, we implemented artificial neural networks (ANN) in apparel manufacturing organizations to optimize the supply chain by convergent on the right supplier selection by analyzing their performance criteria. Moreover, data was collected from three different factories to analyze the efficiency and profit-loss status of their units. Furthermore, analyze the supplier selection criteria of three suppliers in order to select the right supplier at the right time in the apparel manufacturing industry. This study shows that it can save 18% of the total cost. Additionally, the mathematical analysis has been performed to validate the data analysis for the right supplier selection based on the performance criteria.

Strategic supplier selection for renewable energy supply chain under green capabilities (fuzzy BWM-WASPAS-COPRAS approach)

The supplier selection problem (SSP) is a significant issue in renewable supply chain management (RSCM). Selecting a strategic green supplier can not only discover the sustainable development of supply chains but also optimize the consumption rate of resources and decrease the negative environmental effects, which adopts to the green development context. As a multiple criteria group decision-making (MCGDM) problem, choosing a strategic green supplier is important to renewable supply chains. However, how to choose a strategic green supplier for supply chains is a great effort. Hence, In the present work, evaluating a set of strategic suppliers is primarily based on green capabilities by using an integrated fuzzy Best Worst Method (FBWM) with the other two techniques, namely COPRAS (Complex Proportional Assessment of Alternatives) and WASPAS (Weighted Aggregated Sum-Product Assessment). Initially, nine strategic supplier selection criteria have been identified through literature review and a real-world case study of Iran's renewable energy supply chain is deliberated to exhibit the proposed framework's applicability. The applied methodology and its analysis will provide insight to decision-makers of strategic supplier selection. It may aid decision-makers and the procurement department in differentiating the significant strategic green supplier selection criteria and assess the strategic green supplier in the local and global market supply chain. Finally, the strengths and limitation of the framework are discussed by using comparative analysis with other methods.

Supplier selection criteria in the Greek hotel food and beverage divisions

PurposeThe purpose of this study is to investigate the factors affecting supplier selection in food and beverage divisions in the Greek hotel industry. This research aimed to (1) examine the factors affecting supplier selection in food and beverage divisions of the Greek hotel industry, as these were perceived by the Greek purchasing managers themselves; (2) investigate the underlying factors when changing a supplier.Design/methodology/approachA survey was conducted using a closed-ended type questionnaire. Data collection met the following three criteria: hotels with a fully operational food and beverage division could participate in the research, the research population comprised all the hotels located in 13 regions of Greece, the sample represented over 10% of the total hotels in each region. Finally, 653 valid questionnaires were collected.FindingsExploratory factor analysis showed that six broad sets of factors affect supplier selection in the food and beverage divisions: those related to raw materials, financing, environment, services, origin-nutrients and people. Regarding the factors considered in changing a supplier, three factors were found: service and product quality, economic policy change, food quality and safety management systems.Research limitations/implicationsGreek hotel managers could use the findings of the study to effectively create a supply chain management strategy that will lead to improved firm performance. Understanding the importance of the selection criteria for the supply chain performance and the need to build strong relationships with stakeholders, suppliers could also create a proper supply chain.Originality/valueThe study adds to the knowledge regarding the perspectives of the Greek purchasing managers in food and beverage divisions in hotel industry and the body of much-needed research. Using exploratory factor analysis, a sort of grouping of the variables seems beneficial for simplifying how to present and understand the factors affecting supplier selection in food and beverage divisions within the Greek context.

SÜRDÜRÜLEBİLİR TEDARİK ZİNCİRİ YÖNETİMİNDE TEDARİKÇİ DEĞERLENDİRME KRİTERLERİNİN DEMATEL YÖNTEMİYLE İNCELENMESİ VE AHŞAP SEKTÖRÜNDE BİR UYGULAMA

Supplier selection is considered among the most criterional decision-making problems as it aims to maximize conflicting targets. In order to meet the demands of customers, enterprises take environmental and social factors into account as well as economic factors. The main objective of the study is to evaluate supplier selection criteria within a sustainable supply chain and to determine which criteria have more weight. In the study, a conceptual framework has been developed by taking into account economic, environmental and social factors in order to evaluate the performance of a sustainable supply chain performance. In addition to these 3 main criteria, 9 sub-criteria are also included in the study. In this study, the DEMATEL method is applied to measure the sustainability performance of suppliers in the sustainable supply chain of a company operating in the natural wood coating sector. At the end of the practice, the weight rating of each criterion is calculated. It has been revealed that the economic, then social and environmental dimension is considered important in the sustainable supplier selection criteria for the company evaluated within the scope of the study and that the cost of supply is the most important performance criterion. The criteria are divided into affecting and affected by evaluating the level of importance relative to each other. It has been shown that the enterprise should focus on which performance criteria in the supplier selection.

An Integrated Multi-criteria Structural Equation Model for Green Supplier Selection

The aims of the current study are to determine the criteria to be considered in a green supplier selection (GSS) process, develop an integrated decision-making approach using structural equation modelling (SEM) and fuzzy additive ratio assessment (ARAS) techniques to rank suitable suppliers, and investigate the effectiveness of this approach in collective decision-making. The study’s ultimate objective is to propose a method created from the perspective of fuzzy logic in which criterion weights are determined using SEM to resolve decision-making challenges such as GSS, in which a compromise solution is desired. In the first stage of the study, relevant literature as examined in detail. Eight main criteria and 27 sub-criteria were detected, taking into account classical, green, and social supplier selection (SS) criteria. A questionnaire was administered to 254 participants who were actively involved in SS processes for their companies, and the data were analyzed using SEM. In the second phase, six suppliers were evaluated considering the criteria found to have a positive impact on GSS, and fuzzy ARAS was applied. The results showed that the factors affecting GSS are quality (0.291), social responsibility (0.222), service (0.21), cost (0.149) and green product (0.128). The study presents an effective, objective, and fast method that can be used in decision-making problems such as GSS, that prevents potential loss of information and lack of transparency through an integrated approach, and that can be tested with a generalizable framework. The proposed hybrid method is an efficient and practical approach that can be tested on many decision-making problems, such as SS.

Multi-Criteria Decision-Making Approach based on Neutrosophic Sets for Evaluating Sustainable Supplier Selection in the Industrial 4.0

Sustainability in supply chain management can be achieved by integrating its applications with Industry 4.0 platforms. Considering the Sustainability and Industry 4.0 criteria for supplier selection, this research creates a new integrated model to improve the performance of the applicatios. The choice of suppliers is evaluated using a two-stage neutrosophic sets and the EDAS method. The first step of this research is to define all of the terms associated with Industry 4.0 and Sustainability. The neutrosophic EDAS determines the relative relevance of each criterion. The neutrosophic VIKOR method is used to rank the suppliers. The suppliers' performance in meeting the sustainability and Industry 4.0 standards is then nominated in a two-stage neutrosophic sets. A case study of a textile firm is offered to illustrate the usefulness of our integrated approach. The effectiveness of the suggested integrated method is then evaluated via a series of sensitivity assessments. Of the things we learned was that it's best to build a decision-making framework that uses Industry 4.0 and sustainability criteria to assess suppliers individually rather than in a relative fashion in a hazy setting.

Multikriteriumski metod odlučivanja-AHP u zelenim nabavkama

The aim of this article is to research and demonstrates effectiveness of the proposed a multicriteria decision-making methodology, applied for a case of the meat processing industry for cans as a packaging material supplier selection supported by an environmental approach. There are 7 criteria of supplier selection with green dimensions identified, examined and ranked by evaluation factors, the financial, qualitative and environmental management system criteria. The results of this study will support the introduction of the environmental management system and a quality of the suppliers. Sustainable packaging in a food industry is a relatively new addition to the environmental considerations for packaging and could have a pivotal role in a green supply chain of food production, in sustainable partnerships development and a buyer's corporate green image and competencies.

Development of sustainable and circular criteria in supplier selection

Development of sustainable and circular criteria in supplier selection

Going Green Supply Chain Management During COVID-19, Assessing the Best Supplier Selection Criteria: A Triple Bottom Line (TBL) Approach

In the past ten years, sustainable supply chain management (SSCM) attach great importance due to consumers, for-profit and profitless organizations, laws and regulations to the social and corporate responsibilities of consumers, so it has been recognized by practitioners and scholars. Supplier selection, environmental effect like a lockdown, and social cooperation and other SSCM programs can play an important part in realizing the triple bottom line (TBL) of economic, environmental, social assistances. In supply chain management (SCM), the sustainable supplier selection (SSS) and firm performance plays an important role. Traditionally, when evaluating SSS performance, organizations will consider a new framework to obtain the overall criteria/sub-criteria of the sustainability index by encapsulating sustainability. In this paper 12 sub-criteria for 3 pillars of sustainability as economic, environment and social performance is collected. Although there are many articles on SSS and evaluation, so far, research on sustainability issues is very limited. This study endeavours to propose a fuzzy multi-criteria approach to discuss SSCM planning, and studies the issue of determining a current model for SSS in the supply chain during COVID-19 based on the TBL method. For express the linguistic value of the subjective preference of experts we use triangular fuzzy numbers. By using fuzzy numbers to find standard weights for qualitative performance evaluation, then fuzzy TOPSIS (Technique for Order Preference by Similarity to Ideal Solution) is proposed to find the ranking of SSS. However, COVID-19 has a negative role in SSS and in firm performance. The situation of lockdown due to COVID-19 has a negative effect on the performance of the organizations. An example is given of the proposed method.

Food supplier selection in the catering industry using the analytic hierarchy process

Choosing the right supplier is vital as it helps to achieve high-quality products at relatively lower costs on the one hand and increases profitability by increasing customer satisfaction on the other. Cost alone is not enough in the supplier selection process. Managers should also consider other criteria such as quality, reliability, crisis management, green product simultaneously. Supplier selection is a multi-criteria decision-making (MCDM) problem involving both qualitative and quantitative criteria. This study uses the Analytic Hierarchy Process (AHP), which is one of the MCDM methods. The aims of this study are to determine the most essential supplier selection criteria in the catering industry and to choose the most suitable supplier. A semi-structured questionnaire was used to identify the supplier selection criteria and conducted with 30 experts. Based on the identified criteria by the experts, six experienced supply chain managers from six different catering firms were invited to complete the pair-wise comparison survey. Finally, the supplier with the highest overall score, using the seven highest-ranked criteria, have been selected from the three alternatives. This study concludes that the most critical criterion is crisis management. Cost is relatively less critical criterion in the catering industry.

Presenting a decision support model for supplier selection using the best-worst method and asymmetric fuzzy mathematical programming (a case study)

Selecting the right suppliers is one of the key success factors of procurement management. The present study aimed to provide a decision support model in evaluating suppliers in three stages. In the first stage, supplier selection criteria have listed by a systematic review and then, using fuzzy Delphi (FD), eight criteria have selected. Following that in the next step, the selected criteria have weighted by the FBWM method. Finally, to model asymmetric fuzzy mathematical programming, the objective function has added to the model as a function of weighted utility and constraints based on the company's expectations in three areas of demand, quality and supplier production capacity. Finally, the model has solved by the Zimmermann method for the largest seat belt manufacturing company in Iran. The presented model is able to determine the supply portfolio by considering the maximum utility of the procurement process and the operational constraints of the buyer.

Criteria for sustainable supplier selection in agro-industrial complex

The main goal of paper is to rank the criteria that are important for the selection of the most favourable supplier of the agricultural company by applying a multicriteria decision-making model. Subject of the paper is the procurement of mineral fertilizer for sowing certain field crops. As a method of work, the author uses DEMATEL (The Decision making Trial and Evaluation Laboratory) method of multicriteria decision making. In order to bring the research as close as possible to human thinking, the fuzzy logic of multicriteria decision-making was applied in the paper. Method is an expert assessment and ranking by experts in the field. In addition to the group of economic and technical criteria, the paper also uses criteria related to sustainable development such as environmental management system, green product, pollution and waste control, recycling and eco-product design. Results of the research show that the criteria that are from the economic group are still assessed as the most important for the decision maker. Importance of the research would be in pointing out the increase in the importance of criteria, especially those from the sustainability group according to their importance in the coming period, and the possibility of applying modern decision-making methods.

Criteria Definition in Green Supplier Selection for Moroccan building material industry

Purchasing management and supplier selection, an important function in the supply chain management, play a significant role in the finished product quality. Since the supplier contributes to the business development and brand image of the company, identifying the most appropriate one is a critical and challenging decision. This decision depends on several factors that need to be carefully identified and clearly defined. They should not be standard or common to all supplier selection problems but rather adapted to the specific case under study. The choice of the selection criteria is affected by different parameters such as the industry studied, the type of production and the requirements of the managers. The aim of this study is to provide decision makers with the most relevant selection criteria to consider when evaluating green suppliers in building materials industry. To achieve this goal, we first conducted a thorough and detailed review of published literature on green supplier selection issues in order to extract the various criteria and sub-criteria recommended by authors. This list was then narrowed down to the most relevant criteria after analyzing the questionnaire results with experts. Finally, a list of criteria for green supplier selection is proposed along with their definitions.

Low‐Carbon Supplier Selection Using Fuzzy AHP and Goal Programming Approach

It has become the leading world trend that all countries join hands to respond to climate change and promote green and low‐carbon development. In this background, more and more enterprises seek to control carbon emissions from the source and reduce indirect carbon emissions, consequently paying increased importance to the carbon footprint of their suppliers. Most of the earlier studies concerning supplier selection mainly focus on traditional factors, such as quality, service, and lead time, but minimal importance to the carbon emission of supplies. This study fills this gap by incorporating carbon emission criteria into supplier selection and presenting a method of combining fuzzy analytic hierarchy process (AHP) and fuzzy goal programming (GP) to address the problem of supplier selection and order quota allocation. Firstly, we use fuzzy AHP to evaluate the relevance and importance of supplier selection criteria according to the experts’ opinions. Second, each objective is given weights according to the fuzzy AHP results, and then the fuzzy GP method is used for supplier selection and order quota allocation. Finally, we implement an example study with a data set from a realistic situation, and the results confirm the effectiveness of the proposed method in an uncertain environment.

Supplier Selection Fuzzy Model in Supply Chain Management: Vietnamese Cafe Industry Case

Supplier selection is a vital part of the supply chain and is also a current issue that concerns businesses today as supplier quality directly affects the operations of the organization. Choosing the right supplier can help businesses increase productivity, competitiveness in the market, and profits without having to lower the quality of the products. However, choosing a supplier is not a simple matter, it requires businesses to consider many aspects about their suppliers. Therefore, the goal of this study is to propose an integrated model consisting of two models: Fuzzy Analytics Network Process (Fuzzy-ANP) model and Weighted Aggregated Sum Product Assessment (WASPAS) to solve the problem above. The Fuzzy-ANP model was developed to evaluate the weightings of the supplier selection criteria, and the WASPAS Model was used to rank the suppliers. An example of supplier selection in the coffee industry in Vietnam was studied to validate the model, namely 5 main criteria, with 16 sub-criteria, and 7 suppliers. The model test results show that the Fuzzy ANP and WASPAS integration model was suitable. In future, these developing models can apply to other industries or integrate with other models.