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Abstract:- In present globalised competitive environment, supplier selection process becomes

vital for the success of any manufacturing organization. In this situation, supplier selection is one
of the most important functions to be handled by the purchasing department. Since supplier
selection process is a multi-criterion problem, it becomes very complicated and it requires a
trade-off between the qualitative and quantitative factors. Many authors have discussed different
models and techniques for and evaluating and rating suppliers. In this paper digraph and matrix
approach, a multi attributes decision maing !M"#M$ technique is applied to solve the supplier
selection problem. " numerical example also demonstrated for better understanding.
Introduction:- In %&M, the supplier contribution and supplier relationship have been studied as
ey contributing factors to accrue the quality. In supply chain management, buyer'supplier
relationship is critical one to achieve the strategic goals of a company. In manufacturing
industries, the cost raw materials and components constitutes ma(or portion in the total product
cost. %hus to reduces the cost and to improve the quality of the product, quality raw material and
quality components are required with low cost. )arious surveys say that this can be achieved
only by enhancing best supplier rating and supplier selection method. In early days, cost of the
product was given the more priority than quality. So the supplier selection was an easy tas. *ow
quality become the most critical factor and is given top most priority for any selection process.
"part from the quality, many other critical factors such as cost, time of delivery, service,
reliability, are also play a vital role in supplier selection process. +ence, supplier selection
process becomes crucial and a multi attribute decision maing problem. ,elix %. S. -han and
+ing .ai -han!/010$ gave the elaborative list of factors which includes delivery, cost, assurance
of supply, flexibility, cost, reliability, perceived ris, technological issues and environmental
issues. %his list of factors are not exhaustive and also this number of factors being varied
according to the specific company strategies. "s the number of factors and their influence on the
company2s2 goal vary, a suitable methodology has to be incorporated in order to trade off
between the factors and the goal.
%he quality and cost of a product or service offered in the maret is a function, not only of the
capabilities of the firm, but also the supplier networ providing inputs to the enterprise. Supplier
selection plays a ey role in an organization because the cost of raw material constitutes the main
cost of the final product
3resently, many tools and techniques lie "+3,"*3,%43SIS,#5"!data envelop analysis$, are
being incorporated for the supplier selection process. %he elaborative literature survey is given in
the next section.
Literature review:-
"li 5ici!/016$ developed a mixed integer non-linear programming model to find the
least-cost cyclic ordering policy for the buyer. %hey proposed the model to solve the problem by
enumerating over all possible supplier combinations. 7amzi +ammami et al !/01/$ focused on
the international supplier selection problem. %hey identified various significant issues of ignored
so far and they included in their model. %he authors developed a mixed-integer programming
model considering the selection of the transportation modes and the determination of the safety
stocs that should be held in buyers2 sites to cope with the delivery lead time uncertainty.
8hazal "ssadipour 9 :afar 7azmi,!/016$ have considered the problem of inventory lot-
sizing and supplier selection for an assembly system. In their model they assumed the supplier
available capacities as ambiguous dynamic parameter. %he dynamic parameters such as demand,
suppliers2 available capacities, prices, and holding and shortage costs are also considered in their
model.
Mehmet Seip "ltug and 8arrettvan 7yzin !/016$considered a multi-supplier, single-
manufacturer supply chain where each supplier sells a different component at varying quality
levels. %hey also proposed a mechanisms, in which the quality, price, schedules and revenue
sharingare considered.
;an <ung *g, !/00=$ proposed a weighted linear program for the multi-criteria supplier
selection problem. %hey also included the advantages of the #5" non-parametric approach and
raning the relativity of importance of criteria. +e present a transformation technique which
enables the weighted linear program to be solved without optimization and can be implemented
with a spreadsheet pacage.
+amed ,azlollahtabar et al!/011$ provided an approach which integrate the supplier
selection shipment allocations, including number of tangible and intangible criteria within a time
horizon.
Mohsen :afari Songhori et al!/011$ have provided a comprehensive and systematic
approach that embraces both quantitative and qualitative criteria.they also included different
transport alternatives and order allocation decisions encompassing multiple discrete time periods.
%hey also demonstrated case study for the proposed framewor and exhibited the efficiency of
the procedures and algorithms.
3... +umphreysa,et al!/006$ integrated environmental factors into the supplier selection
factors lie quality, flexibility for evaluating supplier performance. %hey also provided a support
tool to integrate environmental criteria into their supplier selection process.*agra( !7a(u$et
al!/00=$ , provided a model specifically to couple the product choice and vendor selection.
,urther they have analyzed selection of supplier for the specific model and providing offer to the
supplier for the supply of versatility components.
"lireza "linezad et al !/016$ developed an integrated multiple criteria fuzzy decision-
maing approach to apprise the performance of alternative suppliers.In the approach, &,# was
used to arrive the customer requirement and ,uzzy "+3 was used to determine ratings and
weightage of the customer requirements. 7eza ,arzipoor Saen!/010$ has developed a new data
envelopment analysis methodology for supplier selection in which he included both undesirable
outputs and imprecise data and she has demonstrated a numerical example to illustrate his
method.
:avad Soroora et al!/01/$ developed a smart module for the selection of best supplier by
integrating fuzzy logic, "+3, and &,#. %he main advantage of this model is> a hybrid
autonomous model to evaluate supplier bids without direct human intervention.
-evriye 8encer , #idem 8u?rpinar!/00@$, and :afar 7azmi 9 +amed 7afiei!/010$,were
applied "*3 model for the supplier selection problem for the different environmental
conditions.,elix %. S. -han 9 +ing .ai -han!/010$ developed an "+3 model for selection of
suppliers in the fast changing fashion maret in the apparel industry.
7eference
1. ,elix %. S. -han 9 +ing .ai -han, "n "+3 model for selection of suppliers in the fast
changing fashion maret, Int : "dv Manuf %echnol !/010$ A1>11BA'1/0@
2. "li 5ici , "n improved model for supplier selection under capacity constraint and
multiple criteria, Int. :. 3roduction 5conomics 1C1 !/016$ A@C'A=1
3. 8hazal "ssadipour 9 :afar 7azmi,!/016$ 3ossibilistic inventory and supplier selection
model for an assembly system, %he International :ournal of "dvanced Manufacturing
%echnology , )olume D@ !1$ Springer :ournals ' :ul 1, /016
4. Mehmet Seip "ltug, 8arrettvan 7yzin!/016$ , 3roduct quality selection> -ontractual
agreements and supplier competition in an assemble-to-order environment,. :. 3roduction
5conomics 1C1 !/016$ D/D'D6=
5. ;an <ung *g, !/00=$ "n efficient and simple model for multiple criteria supplier
selection problem, 5uropean :ournal of 4perational 7esearch 1=D 10AB'10D@
6. +amed ,azlollahtabar , Ira( Mahdavi , Minoo %alebi "shoori 9 Somayeh .aviani,
*ezam Mahdavi-"miri,!/011$, " multi-ob(ective decision-maing process of supplier
selection and order allocation for multi-period scheduling in an electronic maret, Int :
"dv Manuf %echnol A/>106B'10A/.
7. Mohsen :afari Songhori 9 Mad(id %avana 9 "li "zadeh 9 Mohammad +ossien
.habaz, " supplier selection and order allocation model with multiple transportation
alternatives, Int : "dv Manuf %echnol !/011$ A/>6DA'6@D.
8. 3... +umphreysa,E, F... ;ongb, ,.%.S. -hanb,Integrating environmental criteria into the
supplier selection process, :ournal of Materials 3rocessing %echnology 16= !/006$ 6CB'
6AD
9. ,*agra( !7a(u$ Galarishnana, "miya .. -haravarty b, 3roduct design with multiple
suppliers for component variants, Int. :. 3roduction 5conomics 11/ !/00=$ @/6'@C1
10. "lireza "linezad 9 "zadeh Seif 9 *ima 5sfandiari , Supplier evaluation and selection
with &,# and ,"+3 in a pharmaceutical company , Int : "dv Manuf %echnol !/016$
D=>6AA'6DC
11. 7eza ,arzipoor Saen , #eveloping a new data envelopment analysis methodology for
supplier selection in the presence of both undesirable outputs and imprecise data , Int :
"dv Manuf %echnol !/010$ A1>1/C6'1/A0.
12. :avad Soroora,, Mohammad :. %aroha, ,arid .hoshalhana, Sara Sa((adi b , Intelligent
evaluation of supplier bids using a hybrid technique in distributed supply chains , :ournal
of Manufacturing Systems 61 !/01/$ /C0' /A/
13. -evriye 8encer , #idem 8u?rpinar, Analytic network process in supplier selection> "
case study in an electronic firm, "pplied Mathematical Modelling 61 !/00@$ /C@A'/C=D
14. :afar 7azmi 9 +amed 7afiei, "n integrated analytic network process with mixed-
integer non-linear programming to supplier selection and order allocation, Int : "dv
Manuf %echnol !/010$ CB>11BA'1/0=
15. ,elix %. S. -han 9 +ing .ai -han, An AHP model for selection of suppliers in the fast
changing fashion maret, Int : "dv Manuf %echnol !/010$ A1>11BA'1/0@
%he purpose of this study is to develop a decision support model by using "+3 to solve
the supplier selection problem in the apparel industry. Supplier selection is no longer (ust
the issue of obtaining lower product prices but also a faster and reliable delivery. %he
model presented here addressed the most relevant issues in searching suppliers the apparel
industry. ;ith the use of the model, supplier selection will be much easier and effective
for buyers.
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