A fuzzy model for supplier selection in quantity discount environments

Tai Yue Wang, Yih Hwang Yang

Research output: Contribution to journalArticlepeer-review

120 Citations (Scopus)

Abstract

Traditionally, supplier selection should simultaneously take into account numerous heterogeneous criteria, and then is a tedious task for the purchasing decision makers. It becomes especially complicated when quantity discounts are considered at the same time. Under such manner, most studies often formulate such a problem as a Multi-Objective Linear Programming (MOLP) problem, and then scale it down to a Mixed Integer Programming (MIP) problem to handle the inherited multi-objectives simultaneously. However, this approach often neglects to consider scaling and subjective weighting issues. In order to ease the problem mentioned above and to obtain a more reasonable compromise solution for allocating order quantities among suppliers with their quantity discount rate offered, the Analytical Hierarchy Process (AHP) and fuzzy compromise programming are introduced in this study. An illustrated example is presented to demonstrate the proposed model and to illuminate two kinds of attitudes for decision makers. The information from the experiments can be utilized further to explain the suppliers' possible improvement and to help create win-win policies.

Original languageEnglish
Pages (from-to)12179-12187
Number of pages9
JournalExpert Systems With Applications
Volume36
Issue number10
DOIs
Publication statusPublished - 2009 Dec 1

All Science Journal Classification (ASJC) codes

  • Engineering(all)
  • Computer Science Applications
  • Artificial Intelligence

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