Multi Criteria Decision Making Based Model For Supplier Selection

Supplier selection and measurement of supplier performance are multiple criteria decision making (MCDM) problems and have a strategic importance for all industries. Supplier performance measures is a tool to determine whether suppliers are doing their job as expected. The importance of supplier performance measurement should not be underestimated. Supplier evaluation is a complex multiple criteria decision-making problem which is affected by several conflicting factors. Because of this, measurement of supplier performance is becoming increasingly important and critical. The purpose of this paper is investigate the MCDM methods in order to check how performance of suppliers are being measured with using MCDM methods. Evaluating supplier performance, derive the importance of the main criteria and sub-criteria applied in decision-matrix to sort the suppliers according to the measurement of supplier performance criteria.