Track: Supply Chain Management

Abstract

Due to high importance of supplier selection in supply chain management issues and also taking into consideration the fact that organizations are giving more and more attention to their responsibilities in the society; this paper considers supplier selection as a multi-objective decision making problem. It inserts social responsibility (SR) parameter into the model and ensures that specification of each supplier’s allocated quota from a total order uses such criterion. In supplier selection problem, objectives such as cost minimization, quality maximization and on-time delivery maximization have been generally studied. In order to effectively consider SR, we also take note of other objectives such as suppliers’ SR maximization, distance minimization, etc. Due to its linear dependency property, SR observance by the suppliers can lead to higher quality level (products and services) and on-time delivery. Thus the proposed approach also incorporates quality and on-time delivery objectives into SR parameter. Furthermore, it uses a triangular fuzzy number regarding uncertainty and ambiguity in the SR observance level at the end of each period. On top of a mathematical model for a multi-product structure, numerical examples that employ fuzzy multi objective decision making method, are presented so as to justify the approach as well as its values.