Title: Reinvestigating vendor selection criteria in the iron and steel industry
Author: Arpan Kumar Kar
Address: Indian Institute of Technology Delhi, Hauz Khas, New Delhi, 110016, India
Abstract: Vendor selection is an important domain in purchasing. However, too many evaluation criteria have been used in literature. This case study identifies and prioritises the important vendor selection criteria in the iron and steel industry in India. A mixed methodological approach has been conducted in this study. First, a Delphi study has been conducted to identify the important evaluation criteria. Subsequently, the fuzzy extension of AHP has been used to prioritise these important evaluation criteria from the perspective of key decision makers. The study highlights that product quality, delivery compliance and price are the three most important criteria for the evaluation of vendors in the iron and steel industry. Further, technological capability, production capability, financial strength and electronic transaction capability are the other important criteria for the evaluation of vendors.
Keywords: vendor selection; evaluation criteria; purchasing management; procurement management; analytical hierarchy process; fuzzy AHP; FAHP; group decision making; supplier selection; iron and steel industry; case study; India; product quality; delivery compliance; price; technological capability; production capability; financial strength; electronic transaction capability.
Int. J. of Procurement Management, 2015 Vol.8, No.5, pp.570 - 586
Available online: 22 Jul 2015