Performance Evaluation of Raw Material Suppliers at Manufacturing Company Using Analytical Hierarchy Process Method

Abstract

PT Trafoindo Prima Perkasa is a medium-sized electrical equipment manufacturing company that uses bushings as raw materials for transformers. Therefore, it is important to evaluate bushing suppliers to ensure the appropriate quality and quantity of raw materials. Currently, the company faces issues with delayed raw material deliveries, which disrupt production. The research aims to evaluate the performance of bushing raw material suppliers using the Analytical Hierarchy Process (AHP) method, focusing on price, quality, service, and delivery. The AHP method is employed for multi-criteria decision-making in supplier performance evaluation through questionnaires and analysis using Expert Choice software. The analysis results indicate that price is the primary evaluation criterion with a value of 0.398, and Supplier A demonstrates the best performance with a score of 0.280.