A Fuzzy BWM Method for Evaluating Supplier Selection Factors in a SME Paper Manufacturer

Abstract

In today’s competitive world, companies are required to increase productivity and produce high-quality products while managing their operational efficiency. This leads a firm to involve its performing suppliers by taking into account multiple factors. For small and medium-sized enterprises (SMEs), despite its importance, supplier selection is less considered. In this study, a case study for evaluating supplier selection factors in a small-medium scale paper manufacturer in Indonesia is demonstrated using the fuzzy best-worst method (fuzzy BWM). The BWM method that provides a structurally consistent factors comparison through the best and the worst criteria is extended using a fuzzy set to address the ambiguity from decision-makers’ judgement. The evaluation includes five supplier criteria: service, flexibility and delivery, reputation, quality, and purchasing cost. To determine the fuzzy criteria’ weights, the nonlinearly constrained optimization problem was introduced. The result indicated that the best and the worst criteria were respectively service and purchasing cost, while the service criterion was weakly crucial than quality. Besides, the Fuzzy BWM has also provided high consistency in the comparison. The optimal weights determined in this study can be applied for ranking suppliers for further attempts.

Uygulamali Gi̇ri̇şi̇mci̇li̇k Eği̇ti̇mleri̇ni̇n İl, Düzey-I Ve Düzey-Ii Bölgeleri̇ Bazinda Bulanik BWM Ve Aroman Yöntemleri̇yle Değerlendi̇ri̇lmesi̇

“…Author Subject Fuzzy BWM (Guo & Zhao, 2017) Selection of sustainable supplier (Amoozad Mahdiraji et al, 2018) Key Factors of Sustainable Architecture (Gan et al, 2019) Selection of resilient supplier (Ghoushchi et al, 2019) prioritization of failures (Ecer & Pamucar, 2020) Selection of sustainable supplier (Tu et al, 2020) Water Resources Security Evaluation (Amiri et al, 2021) Selection of sustainable supplier (Khan et al, 2021) Management of halal supply chain (Kurniawan & Puspitasari, 2021) Selection of sustainable supplier (Ghorabaee et al, 2021) Sustainable public transportation evaluation (Roy & Shaw, 2022) Credit rating model (Görçün & Doğan, 2023) Mobile crane selection (Ecer et al, 2024) Evaluation of cryptocurrency exchanges AROMAN (Bošković et al, 2023) Electric vehicle selection (Kara et al, 2024) Assessing Türkiye's sustainable competitiveness…”

“…Just as in the conventional BWM method, the consistency ratio (𝐶𝐶𝐶𝐶) value should be taken into consideration in the F-BWM method in order to verify the validity of pairwise comparisons according to the consistency index (𝐶𝐶𝐶𝐶) values indicated in Table 4. In addition, the required steps implemented for determination of criterion weights by F-BWM method can be listed as follows (Guo & Zhao, 2017;Kurniawan & Puspitasari, 2021).…”

A Hybrid MCDM Approach in Third-Party Logistics (3PL) Provider Selection

“…Aguezzoul and Pache [25] AHP-ELECTRE I Özcan and Ahıskalı [51] MCDM-linear programming Hoseini et al [64] fuzzy-best-Worst method and FIS Whang et al [3] fuzzy-AHP and fuzzy-VIKOR Kurniawan and Puspitasari [65] fuzzy-best-worst method…”

“…Kurniawan and Puspitasari [64] evaluated the criteria for supplier selection by applying fuzzy logic and the best-worst method. Whang et al [65] used the fuzzy-AHP and fuzzy-VIKOR Methods in sustainable supply chain third-party logistics. For better transparency, the aforementioned literature review on the methods for 3PL evaluation and selection is summarized in Table 1.…”