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An interactive solution approach for multiple objective supplier selection problem with fuzzy parameters

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Abstract

Increased competition and the globalization of markets have made the purchasing function an increasingly vital activity in supply chain management. The most crucial decision in purchasing is the selection of appropriate suppliers which reduce purchasing costs, decrease production lead time, increase customer satisfaction and strengthen corporate competitiveness. This decision is complicated when buyers face multiple suppliers, multiple conflicting criteria and imprecise parameters. In this study a multiple sourcing supplier selection problem is considered as a multiple objective linear programming problem with fuzzy demand level and/or fuzzy aspiration levels of objectives. Three objective functions are minimizing the total monetary costs, maximizing the total quality and maximizing the service level of purchased items respectively. In order to solve the problem, a novel interactive solution procedure which integrates three well-known fuzzy mathematical models is presented. The proposed approach handles three different scenarios related with mainly the sources of fuzziness and can be efficiently used to obtain non-dominated solutions. Interactivity gives the Decision Maker opportunity to incorporate his/her preferences during the iterations of the optimization process. A numerical example is given to illustrate how the approach is utilized.

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Acknowledgments

I would like to express my appreciation to Prof. Dr. Burhan Türkşen for his valuable comments and the fruitful idea mentioned as the last future direction in section “Conclusions and future directions”.

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Correspondence to Feyzan Arikan.

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This paper was presented in the 8th. International Symposium on Intelligent Manufacturing Systems on September 27–28, 2012, which is organized by Sakarya Unv., Department of Industrial Engineering at Adrasan-Antalya Turkey.

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Arikan, F. An interactive solution approach for multiple objective supplier selection problem with fuzzy parameters. J Intell Manuf 26, 989–998 (2015). https://doi.org/10.1007/s10845-013-0782-6

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