Investigating the Implementation of Supplier Evaluation and Ranking by Improved TOPSIS

Abstract

This research provides a new hybrid algorithm for supplier selection and assessment in supply chain management, taking into account both quantitative and qualitative aspects.

Supplier selection and evaluation are formulated by combining multi-criteria decision-making approaches such as Analytic hierarchy process (AHP) improved by Rough set theory and Technique for order performance by similarity to ideal solution (TOPSIS) to rank suppliers based on their overall performances. The decision makers employ rough set theory to screen providers. The relative weights of evaluation criteria were determined using AHP.TOPSIS was used to assign a rank to suppliers based on their overall performance. This strategy assists the decision maker in selecting the best supplier who meets all supply chain management needs.

A case study is conducted in a high technology company called Multi-Flex Lami-Print Ltd, which makes Flexible Packaging materials in India, to evaluate the algorithm.