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Issue title: Towards the Transition from Supply Chain to Alliance and Supply Networks: Concepts, Models and Methodologies
Guest editors: Charu Chandra
Article type: Research Article
Authors: Kumar, Sameer; * | Bisson, John
Affiliations: Opus College of Business, University of St. Thomas, Mail # TMH 343, 1000 LaSalle Avenue, Minneapolis, MN 55403-2005, USA
Correspondence: [*] Corresponding author: Tel.: 651 962 4350; E-mail: skumar@stthomas.edu.
Abstract: With a growing global economy and competition and increased outsourcing, the supplier selection process has gained more focus and importance within many business enterprises for developing an integrated supply network. Analytic Hierarchy Process (AHP) has been identified as an ideal multi-objective decision support tool to assist firms in completing the supplier selection process as part of strengthening their procurement strategies. This paper involved secondary research methods to gain an understanding of AHP, its various applications, and exploration of how to incorporate non-traditional selection criteria such as environmental criterion into the process. AHP's application for optimal supplier selection to support integrated procurement process is illustrated through an example of a Medical Device Manufacturer (MDM), known for established supplier-customer partnerships and alliances. Major limitation in studying this example included data availability to complete a comprehensive AHP decision management model. However, it was found that AHP is a powerful, structured but flexible method of addressing the multi-criteria supplier selection decision that facilitates building an integrated supply chain.
Keywords: Analytic Hierarchy Process, AHP, supplier selection, sourcing decision, outsourcing, multi-objective decision support system, supplier integration
DOI: 10.3233/HSM-2008-27105
Journal: Human Systems Management, vol. 27, no. 1, pp. 49-62, 2008
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