Analytical Hierarchy Process to Evaluate Supplier Performance in Timber Industry

Authors

  • Shelvy Kurniawan Binus University
  • Bayu Septian Nugraha Bina Nusantara University
  • Prima Yolanda Bina Nusantara University

DOI:

https://doi.org/10.21512/bbr.v9i2.4404

Keywords:

Analytical Hierarchy Process (AHP), supplier performance, supplier selection

Abstract

This descriptive and cross - sectional research was conducted to determine the priority criteria in supplier selection and the best supplier for Timber Industry as the unit of analysis. Data were collected through interview and questionnaire with the operational Manager of the company. The analysis method used was Analytical Hierarchy Process (AHP) that could assist decision making with criteria, sub-criteria, and several alternatives that had been determined by the company. The researchers find that there are four criteria which become the consideration in selecting supplier those are price, product, service, and delivery. From the analysis, it is found
that the company should prioritize price compared to other criteria in selecting the supplier. Meanwhile, the other criteria (product, delivery, and service) sequentially become the second, third, and fourth priority criteria in selecting the suppliers. The other result of this research is the company can find the order of the best suppliers which can be recommended to the company.

Dimensions

Plum Analytics

Author Biographies

Shelvy Kurniawan, Binus University

Management Department

Bayu Septian Nugraha, Bina Nusantara University

Management Department

Prima Yolanda, Bina Nusantara University

Management Department

References

Ajami, S., & Ketabi, S. (2012). Performance evaluation of medical records departments by Analytical Hierarchy Process (AHP) approach in the selected hospitals in Isfahan. Journal of Medical Systems, 36(3), 1165-1171.

Arama, M., Criste, V. I., Criste, R. D., & Panaite, T. (2015). Use of multicriteria AHP (Analytical Hierarchy Process) method to rank feeding solutions, tested on layers, while observing environmental protection. Archiva Zootechnica, 18(2), 73-85.

Faisol, A., Muslim, M. A., & Suyono, H. (2014). Komparasi Fuzzy AHP dengan AHP pada sistem pendukung keputusan investasi properti. Jurnal EECCIS, 8(2), 123-128.

Garoma, T., & Diriba, S. (2014). Modeling and analysis of supplier selection method using Analytical Hierarchy Process (AHP). Science, Technology and Arts Research Journal, 3(1), 145-151.

Heizer, J., Render, B., & Munson, C. (2016). Operations management: Sustainability and supply chain management. Harlow, England: Pearson.

Joshi, V., Lee, K., Melson, D., & Narra, V. R. (2011). Empirical investigation of radiologists’ priorities for PACS selection: An Analytical Hierarchy Process approach. Journal of Digital Imaging, 24(4), 700-708.

Khairina, D. M. (2016). Analytical Hierarchy Process sebagai pendukung keputusan (decision support) pemilihan lokasi pembangunan rumah kos untuk karyawan. Informatika Mulawarman, 7(3), 75-81.

Marlinda, L. (2016). Sistem pendukung keputusan pemilihan tempat wisata yogyakarta menggunakan metode ELimination Et Choix Traduisant La RealitA (ELECTRE). In Prosiding Seminar Nasional Sains dan Teknologi.

Prasad, V. S., & Kousalya, P. (2017). Role of consistency in analytic hierarchy process–consistency improvement methods. Indian Journal of Science and Technology, 10(29), 1-5.

Schmidt, K., Aumann, I., Hollander, I., Damm, K., & von der Schulenburg, J. M. G. (2015). Applying the Analytic Hierarchy Process in healthcare research: A systematic literature review and evaluation of reporting. BMC medical informatics and decision making, 15(1), 112.

Sekaran, U., & Bougie, R. (2013). Research methods for business. Chichester: Willey.

Supraja, S., & Kousalya, P. (2016). ELECTRE Method for the selection of best computer system. Indian Journal of Science and Technology, 9(39), 1-5.

Yücel, M. G., & Görener, A. (2016). Decision making for company acquisition by ELECTRE method. International Journal of Supply Chain Management, 5(1), 75-83.

Downloads

Published

2018-07-31
Abstract 6316  .
PDF downloaded 434  .