A ROUGH MULTICRITERIA APPROACH FOR EVALUATION OF THE SUPPLIER CRITERIA IN AUTOMOTIVE INDUSTRY

Abstract

Ensuring costs reduction and increasing competitiveness and satisfaction of end users are the goals of each participant in the supply chain. Taking into account these goals, the paper proposes methodology for defining the most important criteria for suppliers’ evaluation. From a set of twenty established criteria, i.e. four sets of criteria: finances, logistics, quality and communication and business including its sub-criteria, we have allocated the most important ones for supplier selection. Analytic Hierarchy Process (AHP) based on rough numbers is presented to determine the weight of each evaluation criterion. For the criteria evaluation we have used knowledge from the expert in this field. The efficacy of the proposed evaluation methodology is demonstrated through its application to the company producing metal washers for the automotive industry. Next a sensitivity analysis is carried out in order to show the stability of the model. For checking stability the AHP method in conventional form is used in combination with fuzzy logic.