A Supplier Selection Model in order to Increasing Productivity (Case study: One of the Active firms in Manufacturing of Refinery Equipment)
Subject Areas :
Industrial Management
Ahmadreza Etemadi
1
,
Ahmadreza Kasraei
2
1 - PhD. Student in Industrial Management, Central Branch, Islamic Azad University, Tehran, Iran
2 - Assistant Professor in Industrial Management, Central Branch, Islamic Azad University, Tehran, Iran
Received: 2016-04-07
Accepted : 2016-07-18
Published : 2016-09-08
Keywords:
Abstract :
Supplier selection issue is one of the basic problems in all of the industries, especially in the oil industry. In such issues, multiple criteria and sometimes contradictory criteria must be considered. So, these problems are considered as multi-criteria problems. Suppliers can have a huge impact on the performance of companies in different categories like price, quality, and delivery. Experts believe that there is not the best way for evaluating and selection and there are different methods in this field. In this study, first, with investigating other studies and interviews with experts and the basic criteria for supplier selection were identified and prioritized with Analytic Hierarchy Process. In the next step, according to the criteria and alternatives (suppliers), a hierarchical analysis model prepared and alternatives were also prioritized. In order to determine economic order quantity for one of the main needed parts, a hybrid goal programming and analytic hierarchy process have presented and by using real data, model run and the optimum order for the part was determined for each supplier.
References:
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Amiri, M., Jahani, S. (2011). Using IDEA/AHP Method for Evaluating and Selection Supplier, Industrial Management Quarterly Journal, 5(5), 5-18.
Amit, R., Om, P. & Garg, K. (2013). Supplier Selection Criteria and Methods in Supply Chains: A Review, International Journal of Social, Behavioral, Educational, Economic, Business and Industrial Engineering, 7(10), 2667-2673.
Balan S., Vrat P. & Kumar P. (2007). Multi Criteria Decision Making in Global Supply Chain Network Environments, Int J Prod Econ.
Bhattacharya, A., Geraghty, J. & Young, P. (2010). Supplier Selection Paradigm: An Integrated Hierarchical QFD Methodology under Multiple Criteria Environment, Applied Soft Computing, 10(4), 1013-1027.
Bhattacharya, A., Sarkar, B. & Mukherjee, K. (2005). Integrating AHP with QFD for Robot Selection under Requirement Perspective. International Journal of Production Research, 43(17), 3671–3685.
Chamodrakas I., Batis, D. & Markatos D. ( 2012). Supplier selection in electronic marketplaces using satisficing and fuzzy AHP. Expert Systems with Applications, 37:490–498.
Chan F., Kumar N. (2007). Global Supplier Development Considering Risk Factors Using Fuzzy Extended AHP-based Approach. Omega, 35, 417-431.
De Boer, L., Labro, E. & Morlacchi, P. (2001). A review of methods supporting supplier selection, European Journal of Purchasing & Supply Management, 7, 75-89.
Dempsy, A. (1978). Vendor Selection and Buying, Journal of process industrial marketing management, 7, 257-267.
Dickson, W., (1966), an Analysis of Vender Selection System and Decision, Journal of Purchasing, 2(1), 5-17.
Ellram, L. M. (1987). the supplier selection decision in strategic partnerships, Journal of Purchasing and Materials Management, 26(3), 8-14.
13-Esfandiaripour, E., Afsharkazemi, M., Radfar, R. (2012). Present Pattern for Analysis and Selection Supplier Using Integrated Approach of AHP and GP, MS Thesis, Islamic Azad University, Science and Research Branch, Tehran,
Gadde, L. & kansson, H, (2001), Supply Network Strategy, Wiley, Chichester.
Garvin, D. A. (1993). Manufacturing Strategic Planning, California Management Review, 85-106.
Gonzaılez, M. E., Quesada, G. & Monge, C. (2004). Determining the Importance of the Supplier Selection Process in Manufacturing: a case study, International Journal of Physical Distribution & Logistics Management, 34 (6):492–504.
Juniora, F., Osirob, L. & Carpinettia, C. R. (2014). A Comparison between Fuzzy AHP and Fuzzy TOPSIS Methods to Supplier Selection, Applied Soft Computing 21:194-209.
Kadhkodazdeh, h., Morovati, A. (2014). Supplier Selection using Fuzzy Inference system, Operation and Production Management Journal, 4(2), 113-132.
Kahraman, C., Ruan, D. & Dogan, I. (2003). Fuzzy Group Decision Making for Facility Location Selection, Information Sciences, 157,135–153.
Kazazi, A., Olfat, L. & Bahrami, A. (2015). Supplier Selection for Outsourcing using ANP and SCORE Model, Journal of Industrial Management Studies, 12(85): 27-60.
Liao, S.K., Chang, K.L. & Tseng, T.W. (2012). Optimal Selection of Program Suppliers for TV Companies using an Analytic Network Process (ANP) approach", Asia-Pacific Journal of Operational Research (APJOR), 27(6), 753-767.
Lin, C., Chen, C. & Ting, Y. (2011). An ERP Model for Supplier Selection in Electronics Industry. Expert Systems with Applications, 38(3): 1760–1765.
Mehragan, M. (2013). Advanced Operation Research, Ketab Daneshahi Press, Tehran.
Moshref, M., Vaez, H., Bagherbayrej, E. & Nouri, Atefeh. (2013). Supplier Priority in Global Supply Chain Using Fuzzy AHP, Supply Chain Management Journal, 14(36), 62-50.
Saad Memon, M., Lee, Y. & Mari, S. 2015). Group multi criteria supplier selection using combined grey systems theory and uncertainty theory, Expert Systems with Applications, 42(21), 7951–7959.
Shahroudi, K., Hasani, M. (2013). A Mathematical Model to Select Suppliers through DEA and Total Cost of Ownership Approaches, Quarterly Journal of Operational Research and Its Applications, 8(3), 71-81.
Stojanov, T. & Ding, X. (2015). Supplier Selection for Mixed Model Production: A Case Study from the Apparel Industry, FIBRES & TEXTILES in Eastern Europe, 23, 1(109),8-12.
Timmerman, E. (1986). An approach to vendor performance evaluation, The Journal of supply chain management, 22, 2-8.
Wang, G., Huang S. & Dismukes J. (2004). Product driven supply chain selection using integrated multi criteria decision making methodology, International Journal of Production Economics, 91, 115.
Weber, C., Current, J. R. & Benton, W. C. (1991). Vendor Selection Criteria and Methods. European Journal of Operational Research, 50, 2–18.
Wood, D. (2016). Supplier Selection for Development of Petroleum Industry Facilities, Applying Multi Criteria Decision Making Techniques Including Fuzzy and Intuitionistic fuzzy TOPSIS with Flexible Entropy Weighting, Journal of Natural Gas Science and Engineering, 28, 594–612.
Yazdani, A., Gholami, R. & Tayebi, H. (2014). Presenting a Pattern for Supplier Evaluation and Selection, Supply Chain Management Journal, 15(41), 20-30.
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Alamtabriz, A., Bagherzadeh, M. (2012). FANP for Decision making for Supplier Selection, Journal of Trade Study, 54, 57-86.
Amiri, M., Jahani, S. (2011). Using IDEA/AHP Method for Evaluating and Selection Supplier, Industrial Management Quarterly Journal, 5(5), 5-18.
Amit, R., Om, P. & Garg, K. (2013). Supplier Selection Criteria and Methods in Supply Chains: A Review, International Journal of Social, Behavioral, Educational, Economic, Business and Industrial Engineering, 7(10), 2667-2673.
Balan S., Vrat P. & Kumar P. (2007). Multi Criteria Decision Making in Global Supply Chain Network Environments, Int J Prod Econ.
Bhattacharya, A., Geraghty, J. & Young, P. (2010). Supplier Selection Paradigm: An Integrated Hierarchical QFD Methodology under Multiple Criteria Environment, Applied Soft Computing, 10(4), 1013-1027.
Bhattacharya, A., Sarkar, B. & Mukherjee, K. (2005). Integrating AHP with QFD for Robot Selection under Requirement Perspective. International Journal of Production Research, 43(17), 3671–3685.
Chamodrakas I., Batis, D. & Markatos D. ( 2012). Supplier selection in electronic marketplaces using satisficing and fuzzy AHP. Expert Systems with Applications, 37:490–498.
Chan F., Kumar N. (2007). Global Supplier Development Considering Risk Factors Using Fuzzy Extended AHP-based Approach. Omega, 35, 417-431.
De Boer, L., Labro, E. & Morlacchi, P. (2001). A review of methods supporting supplier selection, European Journal of Purchasing & Supply Management, 7, 75-89.
Dempsy, A. (1978). Vendor Selection and Buying, Journal of process industrial marketing management, 7, 257-267.
Dickson, W., (1966), an Analysis of Vender Selection System and Decision, Journal of Purchasing, 2(1), 5-17.
Ellram, L. M. (1987). the supplier selection decision in strategic partnerships, Journal of Purchasing and Materials Management, 26(3), 8-14.
13-Esfandiaripour, E., Afsharkazemi, M., Radfar, R. (2012). Present Pattern for Analysis and Selection Supplier Using Integrated Approach of AHP and GP, MS Thesis, Islamic Azad University, Science and Research Branch, Tehran,
Gadde, L. & kansson, H, (2001), Supply Network Strategy, Wiley, Chichester.
Garvin, D. A. (1993). Manufacturing Strategic Planning, California Management Review, 85-106.
Gonzaılez, M. E., Quesada, G. & Monge, C. (2004). Determining the Importance of the Supplier Selection Process in Manufacturing: a case study, International Journal of Physical Distribution & Logistics Management, 34 (6):492–504.
Juniora, F., Osirob, L. & Carpinettia, C. R. (2014). A Comparison between Fuzzy AHP and Fuzzy TOPSIS Methods to Supplier Selection, Applied Soft Computing 21:194-209.
Kadhkodazdeh, h., Morovati, A. (2014). Supplier Selection using Fuzzy Inference system, Operation and Production Management Journal, 4(2), 113-132.
Kahraman, C., Ruan, D. & Dogan, I. (2003). Fuzzy Group Decision Making for Facility Location Selection, Information Sciences, 157,135–153.
Kazazi, A., Olfat, L. & Bahrami, A. (2015). Supplier Selection for Outsourcing using ANP and SCORE Model, Journal of Industrial Management Studies, 12(85): 27-60.
Liao, S.K., Chang, K.L. & Tseng, T.W. (2012). Optimal Selection of Program Suppliers for TV Companies using an Analytic Network Process (ANP) approach", Asia-Pacific Journal of Operational Research (APJOR), 27(6), 753-767.
Lin, C., Chen, C. & Ting, Y. (2011). An ERP Model for Supplier Selection in Electronics Industry. Expert Systems with Applications, 38(3): 1760–1765.
Mehragan, M. (2013). Advanced Operation Research, Ketab Daneshahi Press, Tehran.
Moshref, M., Vaez, H., Bagherbayrej, E. & Nouri, Atefeh. (2013). Supplier Priority in Global Supply Chain Using Fuzzy AHP, Supply Chain Management Journal, 14(36), 62-50.
Saad Memon, M., Lee, Y. & Mari, S. 2015). Group multi criteria supplier selection using combined grey systems theory and uncertainty theory, Expert Systems with Applications, 42(21), 7951–7959.
Shahroudi, K., Hasani, M. (2013). A Mathematical Model to Select Suppliers through DEA and Total Cost of Ownership Approaches, Quarterly Journal of Operational Research and Its Applications, 8(3), 71-81.
Stojanov, T. & Ding, X. (2015). Supplier Selection for Mixed Model Production: A Case Study from the Apparel Industry, FIBRES & TEXTILES in Eastern Europe, 23, 1(109),8-12.
Timmerman, E. (1986). An approach to vendor performance evaluation, The Journal of supply chain management, 22, 2-8.
Wang, G., Huang S. & Dismukes J. (2004). Product driven supply chain selection using integrated multi criteria decision making methodology, International Journal of Production Economics, 91, 115.
Weber, C., Current, J. R. & Benton, W. C. (1991). Vendor Selection Criteria and Methods. European Journal of Operational Research, 50, 2–18.
Wood, D. (2016). Supplier Selection for Development of Petroleum Industry Facilities, Applying Multi Criteria Decision Making Techniques Including Fuzzy and Intuitionistic fuzzy TOPSIS with Flexible Entropy Weighting, Journal of Natural Gas Science and Engineering, 28, 594–612.
Yazdani, A., Gholami, R. & Tayebi, H. (2014). Presenting a Pattern for Supplier Evaluation and Selection, Supply Chain Management Journal, 15(41), 20-30.