Modeling and development of a decision support system for supplier selection in the process industry

Abstract

This paper presents the development of a model based decision support system with a case study on solving the supplier selection problem in a chemical processing industry. For the evaluation and selection of supplier, the analytical hierarchy process (AHP) and grey relational analysis (GRA) were used. The intention of the study is to propose an appropriate platform for process industries in selecting suppliers, which was tested with an electroplating industry during the course of development. The sensitivity analysis was performed in order to improve the robustness of the results with regard to the relative importance of the evaluation criteria and the parameters of the evaluation process. Finally, a practical implementation study was carried out to reveal the procedure of the proposed system and identify the suitable supplier with detailed discussions about the benefits and limitations.

Green supply chain management of automotive manufacturing industry considering multiperspective indices

“…Step 3 : Formulate the positive-ideal and negative-ideal solutions, i.e., P-solution and N-solution. Based on the matrix Z , select the best and worst values of alternatives for each criterion to form the P-solution and N-solution as shown in (7) and (8).…”

“…Then, the normalized decision matrix combined with the weight vector of criteria ω can be calculated by (5) and (6). The P-solution and N-solution could be calculated by (7) and (8). The gray relational coefficient between the alternative and P-solution/N-solution about each criterion could be calculated by (9) and (14) as shown in 1, 2, 3), which are calculated by (15).…”

“…Pitchipoo et al . developed a model‐based decision support system with a case study on solving the SCM problem in a chemical processing industry considering cost, delivery, capacity, and warranty . Rao et al .…”

“…Pitchipoo a Correspondence to: Honghao Zhang. E-mail: zhanghh2016@csu.edu.cn *Business and Commerce Department, Hunan Industry Polytechnic, Changsha 410000, China **School of Traffic and Transportation Engineering, Central South University, Changsha 410000, China et al developed a model-based decision support system with a case study on solving the SCM problem in a chemical processing industry considering cost, delivery, capacity, and warranty [8]. Rao et al applied the AHP-GRA method to conduct the disrupted integrated SCM with the disruption including order cancellation, raw material delay, return of goods from customer and the performance measure including delivery performance, delivery delay, and average waiting time [9].…”

Finding stability regions for preserving efficiency classification of variable returns to scale technology in data envelopment analysis

“…Pitchipoo et al (2013) proposed an appropriate platform for process industries in selecting suppliers. In their research, the sensitivity analysis was performed to improve the robustness of the results with regard to the relative importance of the evaluation criteria and the parameters of the evaluation process.…”