Title: A fuzzy-AHP multi-criteria decision-making model for procurement process

Authors: Sameh M. Saad; Noufal Kunhu; Abdel M. Mohamed

Addresses: Department of Engineering and Mathematics, Faculty of Art, Computing, Engineering and Science, Sheffield Hallam University, City Campus, Howard Street, Sheffield, S1 1WB, UK ' Department of Engineering and Mathematics, Faculty of Art, Computing, Engineering and Science, Sheffield Hallam University, City Campus, Howard Street, Sheffield, S1 1WB, UK ' Department of Engineering and Mathematics, Faculty of Art, Computing, Engineering and Science, Sheffield Hallam University, City Campus, Howard Street, Sheffield, S1 1WB, UK

Abstract: The purpose of this study is to develop a fuzzy-AHP multi-criteria decision-making model for procurement process. It aims to measure the procurement performance in the automotive industry. As such measurement of procurement will enable competitive advantage and provide a model for continuous improvement. The rapid growth in the market and the level of competition in the global economy transformed procurement as a strategic issue; which is broader in scope and responsibilities as compared to purchasing. This study reviews the existing literature in procurement performance measurement to identify the key areas of measurement and a hierarchical model is developed with a set of generic measures. In addition, a questionnaire is developed for pair-wise comparison and to collect opinion from practitioners, researchers, managers etc. The relative importance of the measurement criteria are assessed using analytical hierarchy process (AHP) and fuzzy-AHP. The validity of the model is confirmed with the results obtained.

Keywords: procurement performance; performance measurement; PPM; multicriteria decision making MCDM; fuzzy AHP; FAHP; analytical hierarchy process ; logistics systems; automotive procurement; automobile industry; continuous improvement.

DOI: 10.1504/IJLSM.2016.073295

International Journal of Logistics Systems and Management, 2016 Vol.23 No.1, pp.1 - 24

Received: 20 Aug 2014
Accepted: 02 Sep 2014

Published online: 30 Nov 2015 *

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