Journal of Supply Chain Management Systems

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Multi Criteria Supplier Selection Using PROMETHEE Outranking Procedures


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1 Business Studies and Development Office, Saipayadak (Saipa after sales services organization), Iran, Islamic Republic of
     

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Some authors implicitly claim that in some of times, you got to decide between two alternatives (suppliers). In other words, the two best-ranked alternatives are incomparable, and there is no clear evidence in favor of either of alternatives. However, some of the conventional MCDM (Multiple Criteria Decision Making) models introduced only one of them as the best alternative. Thus, it will cause biased in results and DMs (Decision Makers) to make the wrong decision. Since, in order to effectively solve this limitation, this paper proposed an outranking procedure, called PROMETHEE (Preference Ranking Organization METHODS for Enrichment Evaluations) to deal with the supplier selection problem. Because, one of the advantages of this approach is bring out such incomparabilities. In other words, in the proposed method (PROMETHEE I), some alternatives are comparable, while some others are not. However, in this circumstance it is recommended that additional information is required, but other models ignored it. Therefore, the PROMETHEE I is an effective approach in dealing with this kind of decision problem. Moreover, the weights of the criteria are determined by using Entropy method. Finally, a comparative analysis is performed, and the proposed method seems to be more satisfactory than the other MCDM models (i.e. PROMETHEE II, AHP, and TOPSIS) for solving decision problems.

Keywords

MCDM, PROMETHEE, Incomparability, Supplier Selection Problem.
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  • Multi Criteria Supplier Selection Using PROMETHEE Outranking Procedures

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Authors

Mohammad m.azadfallah@yahoo.com Azadfallah
Business Studies and Development Office, Saipayadak (Saipa after sales services organization), Iran, Islamic Republic of

Abstract


Some authors implicitly claim that in some of times, you got to decide between two alternatives (suppliers). In other words, the two best-ranked alternatives are incomparable, and there is no clear evidence in favor of either of alternatives. However, some of the conventional MCDM (Multiple Criteria Decision Making) models introduced only one of them as the best alternative. Thus, it will cause biased in results and DMs (Decision Makers) to make the wrong decision. Since, in order to effectively solve this limitation, this paper proposed an outranking procedure, called PROMETHEE (Preference Ranking Organization METHODS for Enrichment Evaluations) to deal with the supplier selection problem. Because, one of the advantages of this approach is bring out such incomparabilities. In other words, in the proposed method (PROMETHEE I), some alternatives are comparable, while some others are not. However, in this circumstance it is recommended that additional information is required, but other models ignored it. Therefore, the PROMETHEE I is an effective approach in dealing with this kind of decision problem. Moreover, the weights of the criteria are determined by using Entropy method. Finally, a comparative analysis is performed, and the proposed method seems to be more satisfactory than the other MCDM models (i.e. PROMETHEE II, AHP, and TOPSIS) for solving decision problems.

Keywords


MCDM, PROMETHEE, Incomparability, Supplier Selection Problem.

References