Analytic Hierarchy Process Modelling for Supplier Selection in a Manufacturing Supply Chain
Volume 9 Ovundah King Wofuru-Nyenke
Published online:29 July 2023
Article Views: 20
Abstract
Manufacturing supply chains are important for national economic development as they create jobs, enable trade and deliver products. Decision-making is a crucial aspect of manufacturing supply chain optimization. In the course of optimizing supply chains, supply chain managers and engineers have to make several decisions such as supplier selection, materials selection, production scheduling, routing, inventory management, pricing strategies as well as evaluation of various product designs, to name a few. In this paper, the Analytic Hierarchy Process (AHP) method was utilized in selecting the best supplier among three (3) alternatives. The decision-making model was built in the SuperDecisions software, with the goal being Supplier Selection, the four (4) criteria being Price, Responsiveness, Communication and Stability. While the three (3) alternatives are Supplier 1, Supplier 2 and Supplier 3. Pairwise comparisons were conducted and the result of ranking the alternatives indicated that Supplier 1 is the best supplier of raw materials to the manufacturing supply chain. The sensitivity analyses indicated that the results are robust, with the inconsistency value being 0.06948 which is less than 0.1. This study provides a procedure for implementing the AHP method of decision-making for supplier selection in a manufacturing supply chain.
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To Cite this article
O.K. Wofuru-Nyenke, “Analytic Hierarchy Process Modelling for Supplier Selection in a Manufacturing Supply Chain,” International Journal of Applied and Physical Sciences, vol. 9, pp. 33-41, 2023. Doi: https://dx.doi.org/10.20469/ijaps.9.50004