Evaluating Suppliers of Complex Systems: A Multiple Criteria Approach

Abstract

Organizations are frequently required to make long-term strategic choices regarding the design and manufacture of innovative process equipment and systems which address future needs. An important consideration in such choices is the evaluation of the unique capabilities of available suppliers. Typically, such evaluations must be made relative to multiple attributes or criteria. This paper examines one such supplier evaluation process in the context of a major international manufacturer of telecommunication equipment. The ad hoc method used by the organization to evaluate the multiple factors involved is presented, and an alternative, structured approach to deal with the multiple factors is then discussed.