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Optimal Decision Making to Select the Best Suppliers Using Integrating AHP-TOPSIS

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Proceedings of Data Analytics and Management

Part of the book series: Lecture Notes in Networks and Systems ((LNNS,volume 572))

Abstract

Any productive or service organization’s success is largely dependent on its ability to choose the best suppliers. Decision-making process affects the price, quality and delivery time of the products produced by these organizations, allowing businesses to produce innovative, high-quality goods at reasonable prices and gain a competitive edge in the market. The problem addressed in the paper is that most manufacturing or service institutions’ decision makers relied solely on their own experiences or on one factor, particularly cost, when comparing providers, which meant ignoring the other criteria. The goal of this article is to assist decision makers in manufacturing and service organizations in selecting the best suppliers based on a variety of criteria. The best suppliers are identified using a three-stage process that integrates the hierarchical analysis process (AHP) with the Technique for Ordering Preferences by Similarity to the Ideal Solution (TOPSIS). The first step is to choose the criteria that will be used to compare providers, and the second is to calculate the relative weights of these criteria using AHP. The third stage involves comparing the options and ranking them in order of best to worst using TOPSIS technology, which makes use of weights that were retrieved using AHP. This paper is implemented at Thi Qar Oil Company, utilizing an Excel sheet for quick and precise calculations.

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Correspondence to Watheq H. Laith .

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Nizar, Z.M., Laith, W.H., Al-Najjar, A.K. (2023). Optimal Decision Making to Select the Best Suppliers Using Integrating AHP-TOPSIS. In: Khanna, A., Polkowski, Z., Castillo, O. (eds) Proceedings of Data Analytics and Management . Lecture Notes in Networks and Systems, vol 572. Springer, Singapore. https://doi.org/10.1007/978-981-19-7615-5_35

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