Table of Contents
Journal of Industrial Engineering
Volume 2013 (2013), Article ID 841584, 22 pages
http://dx.doi.org/10.1155/2013/841584
Research Article

A Study of Multicriteria Decision Making for Supplier Selection in Automotive Industry

Faculty of Engineering and Technology, Multimedia University, Jalan Ayer Keroh Lama, 75450 Bukit Beruang, Melaka, Malaysia

Received 8 November 2012; Accepted 29 January 2013

Academic Editor: C. K. Kwong

Copyright © 2013 Nadia Jamil et al. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

Abstract

This paper is designed to present the effectiveness of group multicriteria decision making in automotive manufacturing company focusing on the selection of suppliers in Malaysia. The process of selecting suppliers is one of the most critical and challenging endeavor in any supply chain management. There are five decision making tools being analyzed in this study, namely, analytical hierarchy process (AHP), fuzzy analytical hierarchy process (FAHP), technique for order performance by similarity to ideal solution (TOPSIS), fuzzy technique for order performance by similarity to ideal solution (FTOPSIS), and fuzzy analytical hierarchy process integrated with fuzzy technique for order performance by similarity to ideal solution (FAHPiFTOPSIS). The scores of ranking among the suppliers in each MCDM tools (AHP, FAHP, TOPSIS, FTOPSIS, and FAHPiFTOPSIS) show significantly comparable variation. Scores of the best supplier is then compared to the lowest supplier for all MCDM tools whereby this reflects that the highest percentage goes to TOPSIS with scoring of 79.37%. On the contrary, FAHPiFTOPSIS demonstrated the lowest score variation of 22.42% which indicates that FAHPiFTOPSIS is able to eliminate biasness in supplier selection process.