Supplier Selection in Supply Chain Management by Data Envelopment Analysis

Subject Areas : Statistics

Z. Moghaddas ¹ , M. Vaez-Ghasemi ² , B. Rahnama Parchekoalei ³

1 - Department of mathematics, Islamic azad university, QIAU branch, QIAU. iran
2 - Department of mathematics, islamic azad university, rasht branch
3 - department of mathematics, central tehran branch, islamic azad university, tehran, IRAN

Received: 2017-04-04 Accepted : 2017-04-25 Published : 2017-10-23

Keywords: تامین‌کنندگان, تحلیل پوششی داده‌ها, مدیریت زنجیره تامین, متغیرهای دودویی,

Abstract :

Nowadays, managing a supply chain is turned to be one of the fundamentals of business process. In doing so, investigating and analyzing each and every of the processes and selecting the best of each process is an important challenge for strategic managers. In this paper Data Envelopment Analysis (DEA) technique is used and a model is provided for selecting the best suppliers with flexible inputs and outputs. Here, suppliers according to the different requirements of the next stage can be flexible for providing the already forecasting alterations. As an instance, transporting one of the flexible outputs can be considered which can be sent from the earth, sea, or the air. This has the direct effect on the selection of the best suppliers and according to this selection the new chain will be selected in accordance to the requirements of the whole chain. In this paper, according to DEA models and the binary algorithm, a new model will be presented for suppliers.

References:

 [1] Azadeh, A., Motevali Haghighi, S., Gaeini, Z., ShabanpouN., Optimization of healthcare supply chain in context of macro-ergonomics factors by a unique mathematical programming approachو Applied Ergonomics, Volume 55,  2016,  46-55.

[2] Charnes, A.,  W.W. Cooper, E. Rhodes, Measuring the efficiency of decision-making units, European Journal of Operational Research, 2, 1978, 429–444. 

[3] FarzipoorSaen, R., Restricting weights in supplier selection decisions in the presence of dual-role factors, Applied Mathematical Modeling, 34, 2010, 2820–2830.

[4] Ho, W., X.Xu, P. K. Dey , Multi-criteria decision making approaches for supplier evaluation and selection: A literature review, European Journal of Operational Research, 202, 2010, 16–24.

[5] Liu, J., F.Y. Ding, V. Lall, Using data envelopment analysis to compare suppliers for supplier selection and performance improvement, Supply Chain Management: an International Journal, 5(3), 2000, 143–150.

[6] Motevali Haghighi, S., Torabi, S.A., Ghasemi, R., An integrated approach for performance evaluation in sustainable supply chain networks (with a case study), Journal of Cleaner Production, Volume 137, 20 November 2016, Pages 579-597

[7] FR Roodposhti, FH Lotfi, M. Vaez-Ghasemi, Performance evaluation through data envelopment analysis technique and balanced scorecards approach and its application in bank, Applied Mathematical Sciences, 2010, 4: 3537-47.

[8] Talluri, S.,  R. Narasimhan, A. Nair, Vendor performance with supply risk: a chance-constrained DEA approach, International Journal of Production Economics, 100(2), 2006, 212–222.

[9] Weber, C.A., A data envelopment analysis approach to measuring vendor performance, Supply Chain Management, 1(1), 1996, 28–39.

[10] Xiang Ji, Jie Wu, Qingyuan Zhu, Eco-design of transportation in sustainable supply chain management: A DEA-like method, Transportation Research Part D: Transport and Environment, In Press, Corrected Proof, Available online 5, 2015.

[11] Zolghadri, M.,C.Eckert, S.Zouggar, P. Girard, Power-based supplier selection in product development projects, Computers in Industry, 62, 2011, 487–500.