Supplier selection criteria using analytical hierarchy process (AHP)-based approach: a study in refractory materials manufacturers.

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Title: Supplier selection criteria using analytical hierarchy process (AHP)-based approach: a study in refractory materials manufacturers.
Authors: Lin, Gu-Hong1 (AUTHOR) ghlin@nkust.edu.tw, Chuang, Cheng-An1 (AUTHOR) alston8417@gmail.com, Tan, Cheng Ling2,3 (AUTHOR) tanchengling@usm.my, Yeo, Sook Fern4,5 (AUTHOR) yeo.sook.fern@mmu.edu.my, Wu, Fan-Yi1 (AUTHOR) fanyi0827@gmail.com
Source: Industrial Management & Data Systems. 2023, Vol. 123 Issue 6, p1814-1839. 26p.
Subjects: Analytic hierarchy process, Refractory materials, Suppliers, Manufacturing industries, Customer satisfaction, Warehouses
Geographic Terms: Taiwan
Abstract: Purpose: Refractory materials are now used in all major industries that demand high-temperature resistance, including petrochemicals, steel, cement and aviation. Businesses must decrease operating costs, enhance product technology, sell well and manage corporate risks in decision-making, notably supplier selection, to be more competitive. The study aims to determine the key criteria and factors of supplier selection and to evaluate the importance of the key factor of the supplier selection criteria for the refractory materials manufacturers in Taiwan. Design/methodology/approach: Analytical hierarchy process (AHP) is used to rank these factors for the decision maker. The AHP method is suitable for verifying refractory supplier selection criteria and providing references. The weighted loss scores for each supplier are then determined using the relative importance as the weights. Supplier selection criteria are ranked using their aggregate weighted loss scores. The provider with the lowest loss score should be chosen. Findings: Product quality is the most significant of the five criteria: product quality, production technology, logistics capacity, service capability and supplier background. Professionalism is the most significant aspect of product quality, whereas equipment and capacity are vital in manufacturing techniques. The studies also show that the delivery rate is essential for logistics and service capabilities. Practical implications: This research has important implications for refractory suppliers in promptly fine-tuning the production and service to enhance customer satisfaction, which is key to business sustainability. Originality/value: The application of an AHP technique to a real-world industrial issue is what makes this research unique. This research addressed one of the most critical topics in supply chain operations by offering better judgement for supplier selection via the use of suitable quantitative methodologies. [ABSTRACT FROM AUTHOR]
Copyright of Industrial Management & Data Systems is the property of Emerald Publishing Limited and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)
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  Data: Supplier selection criteria using analytical hierarchy process (AHP)-based approach: a study in refractory materials manufacturers.
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  Data: <searchLink fieldCode="AR" term="%22Lin%2C+Gu-Hong%22">Lin, Gu-Hong</searchLink><relatesTo>1</relatesTo> (AUTHOR)<i> ghlin@nkust.edu.tw</i><br /><searchLink fieldCode="AR" term="%22Chuang%2C+Cheng-An%22">Chuang, Cheng-An</searchLink><relatesTo>1</relatesTo> (AUTHOR)<i> alston8417@gmail.com</i><br /><searchLink fieldCode="AR" term="%22Tan%2C+Cheng+Ling%22">Tan, Cheng Ling</searchLink><relatesTo>2,3</relatesTo> (AUTHOR)<i> tanchengling@usm.my</i><br /><searchLink fieldCode="AR" term="%22Yeo%2C+Sook+Fern%22">Yeo, Sook Fern</searchLink><relatesTo>4,5</relatesTo> (AUTHOR)<i> yeo.sook.fern@mmu.edu.my</i><br /><searchLink fieldCode="AR" term="%22Wu%2C+Fan-Yi%22">Wu, Fan-Yi</searchLink><relatesTo>1</relatesTo> (AUTHOR)<i> fanyi0827@gmail.com</i>
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  Data: <searchLink fieldCode="JN" term="%22Industrial+Management+%26+Data+Systems%22">Industrial Management & Data Systems</searchLink>. 2023, Vol. 123 Issue 6, p1814-1839. 26p.
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  Data: <searchLink fieldCode="DE" term="%22Analytic+hierarchy+process%22">Analytic hierarchy process</searchLink><br /><searchLink fieldCode="DE" term="%22Refractory+materials%22">Refractory materials</searchLink><br /><searchLink fieldCode="DE" term="%22Suppliers%22">Suppliers</searchLink><br /><searchLink fieldCode="DE" term="%22Manufacturing+industries%22">Manufacturing industries</searchLink><br /><searchLink fieldCode="DE" term="%22Customer+satisfaction%22">Customer satisfaction</searchLink><br /><searchLink fieldCode="DE" term="%22Warehouses%22">Warehouses</searchLink>
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  Data: <searchLink fieldCode="DE" term="%22Taiwan%22">Taiwan</searchLink>
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  Label: Abstract
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  Data: Purpose: Refractory materials are now used in all major industries that demand high-temperature resistance, including petrochemicals, steel, cement and aviation. Businesses must decrease operating costs, enhance product technology, sell well and manage corporate risks in decision-making, notably supplier selection, to be more competitive. The study aims to determine the key criteria and factors of supplier selection and to evaluate the importance of the key factor of the supplier selection criteria for the refractory materials manufacturers in Taiwan. Design/methodology/approach: Analytical hierarchy process (AHP) is used to rank these factors for the decision maker. The AHP method is suitable for verifying refractory supplier selection criteria and providing references. The weighted loss scores for each supplier are then determined using the relative importance as the weights. Supplier selection criteria are ranked using their aggregate weighted loss scores. The provider with the lowest loss score should be chosen. Findings: Product quality is the most significant of the five criteria: product quality, production technology, logistics capacity, service capability and supplier background. Professionalism is the most significant aspect of product quality, whereas equipment and capacity are vital in manufacturing techniques. The studies also show that the delivery rate is essential for logistics and service capabilities. Practical implications: This research has important implications for refractory suppliers in promptly fine-tuning the production and service to enhance customer satisfaction, which is key to business sustainability. Originality/value: The application of an AHP technique to a real-world industrial issue is what makes this research unique. This research addressed one of the most critical topics in supply chain operations by offering better judgement for supplier selection via the use of suitable quantitative methodologies. [ABSTRACT FROM AUTHOR]
– Name: AbstractSuppliedCopyright
  Label:
  Group: Ab
  Data: <i>Copyright of Industrial Management & Data Systems is the property of Emerald Publishing Limited and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract.</i> (Copyright applies to all Abstracts.)
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RecordInfo BibRecord:
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    Identifiers:
      – Type: doi
        Value: 10.1108/IMDS-06-2022-0370
    Languages:
      – Code: eng
        Text: English
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      Pagination:
        PageCount: 26
        StartPage: 1814
    Subjects:
      – SubjectFull: Analytic hierarchy process
        Type: general
      – SubjectFull: Refractory materials
        Type: general
      – SubjectFull: Suppliers
        Type: general
      – SubjectFull: Manufacturing industries
        Type: general
      – SubjectFull: Customer satisfaction
        Type: general
      – SubjectFull: Warehouses
        Type: general
      – SubjectFull: Taiwan
        Type: general
    Titles:
      – TitleFull: Supplier selection criteria using analytical hierarchy process (AHP)-based approach: a study in refractory materials manufacturers.
        Type: main
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          Name:
            NameFull: Lin, Gu-Hong
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            NameFull: Chuang, Cheng-An
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            NameFull: Tan, Cheng Ling
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            NameFull: Yeo, Sook Fern
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            NameFull: Wu, Fan-Yi
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            – D: 01
              M: 06
              Text: 2023
              Type: published
              Y: 2023
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              Value: 123
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            – TitleFull: Industrial Management & Data Systems
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