A hybrid MCDM model for resilient supplier selection

Abstract

The aim of this research is to develop a quantitative approach for supplier selection under a disaster environment. Because conflicting criteria co-exist in the industrial scenario it is difficult to satisfy all selection criteria simultaneously when designing supplier selection. The present work incorporates an analytical framework for supply chain design, which may help the decision makers to select a suitable supplier under a disruption scenario. In the four tier process, presented here, the supplier’s weights are initially determined using the TOPSIS and AHP methodology for general selection criteria. A cut-off value for the supplier weight is assigned and the suppliers which are above this cut-off value are selected for the primary selection process. Using AHP-QFD methodology the manufacturer’s critical criteria and resiliency criteria are integrated into the selection process, to determine the subjective factor measures (SFM) for each of the primary selected suppliers. Different cost factors are unified using a normalizing technique to determine the objective factor measure (OFM) for each of the suppliers. Finally, a supplier selection index is calculated in which the decision maker’s attitude plays an important role.

Keywords:

• AHP
• quality function deployment
• sensitivity analysis