Decision Support System for Suppliers

Authors: Babak Tashakori Bafghi, Laleh Tashakori, Reza Allahyari Soeini, Mohammad Mokhtari

Abstract:

Supplier selection is a multi criteria decision-making process that comprises tangible and intangible factors. The majority of previous supplier selection techniques do not consider strategic perspective. Besides, uncertainty is one of the most important obstacles in supplier selection. For the first, time in this paper, the idea of the algorithm " Knapsack " is used to select suppliers Moreover, an attempt has to be made to take the advantage of a simple numerical method for solving model .This is an innovation to resolve any ambiguity in choosing suppliers. This model has been tried in the suppliers selected in a competitive environment and according to all desired standards of quality and quantity to show the efficiency of the model, an industry sample has been uses.

Keywords: Knapsack, linear programming, supplier select, supply chain management.

Digital Object Identifier (DOI): doi.org/10.5281/zenodo.1061583

References:

[1] Accenture Consulting, 2005. Supply chain mastery in the global marketplace. In: 16th POMS annual conference, Chicago(2005) .
[2] Linder JG. : Outsourcing for radical change: A bold approach to enterprise transformation. NewYork: AMACOM (2004).
[3] Camperi F. : The hidden value and complexities of outsourcing. Mortgage banking;65(8):123–4 (2005).
[4] Aissaoui, N., Haouari, M., & Hassini, E.: Supplier selection and order lot sizing modeling: A review. Computers & operations research, 34(12), 3516–3540(2007).
[5] Xia, W., & Wu, Z. : Supplier selection with multiple criteria in volume discount environments. Omega, 35(5), 494–504(2007).
[6] Liu, F. H. F., & Hai, H. L. : The voting analytic hierarchy process method for selecting supplier. International journal of production economics, 97(3), 308–317 (2005).
[7] Dickson, G. W. : An analysis of vendor selection system and decisions. Journal of purchasing, 2(1), 28-41 (1966).
[8] Moore, D. L., & Fearon, H. E. : Computer-assisted decision making in purchasing. Journal of purchasing, 9(1), 5–25(1973).
[9] Weber, C. A., Current, J. R., & Benton, W. C. : Vendor selection criteria and methods. European journal of operational research, 50(1), 2–18(1991).
[10] De Boer, L., Labro, E., & Morlacchi, P. : A review of methods supporting supplier selection. European journal of purchasing and supply management, 7(2), 75–89(2001).
[11] Degraeve, Z., Labro, E., & Roodhoofi, F. : Total cost of ownership purchasing of a service: The case of airline selection at Alcatel Bell. European journal of operational research, 156(1), 23–40(2004).
[12] Pujawan, N., Assessing supply chain flexibility: a conceptual framework and case study. International journal of integrated supply management 1 (1), 79–97 (2004).
[13] Ghodsypour, S. H., & O’Brien, C. : A decision support system for supplier selection using an integrated analytic hierarchy process and linear programming. International journal of production economics, 199–212(1998).
[14] Weber, C. A., Current, J. R., & Desai, A. : An optimization approach to determining the number of vendors to employ. Supply chain management: An international journal, 5(2), 90–98(2000).
[15] Kim, B., Leung, J. M. Y., Taepark, K., Zhang, G., & Lee, S. : Configuring a manufacturing firm’s supply network with multiple suppliers. IIE transactions, 34(8), 663–677(2002).
[16] Liao, Z., Rittscher, J. : A multi-objective supplier selection model under stochastic demand conditions. International journal of production economics, 105(1), 150–159(2007).
[17] Wadhwa, V., Ravindran, R . : Vendor selection in outsourcing. Computers and operations research, 34(12), 3725–3737 (2007).