Title: ELECTRE or PROMETHEE? Lesson learnt from a case study in supplier selection

Authors: Elia Oey; Jason Lim

Addresses: International Business and Management Program, Management Department, Binus Business School Undergraduate Program, Bina Nusantara University, Jakarta, 11480, Indonesia ' Civil Engineering Department, Pradita University, Tangerang, Indonesia

Abstract: One of the classic multi criteria decision making (MCDM) applications is supplier selection. To assist decision makers in ensuring the final ranking is robust enough, a robust outranking technique is required. The study looked into a case study in supplier selection analysis, using a first affinity diagram workshop to generate a thorough set of criteria, after which the global weight was computed using an analytical hierarchy procedure. After that, the outranking of four suppliers was calculated and compared using both PROMETHEE II and a modified ELECTRE I. The sensitivity of both techniques was then tested using seven scenarios. Our findings reveal that, while the ranking for the base case is identical for both PROMETHEE and ELECTRE, the latter is less susceptible to weight adjustments.

Keywords: analytical hierarchical process; AHP; ELECTRE; PROMETHEE; supplier selection; sensitivity analysis; multi criteria decision making; MCDM.

DOI: 10.1504/IJPM.2024.140604

International Journal of Procurement Management, 2024 Vol.21 No.1, pp.1 - 31

Received: 26 Jul 2023
Accepted: 30 Jul 2023
Published online: 28 Aug 2024 *

Full-text access for editors Full-text access for subscribers Purchase this article Comment on this article