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AHP-based approaches for supplier evaluation: Problems and perspectives
Authors:Giuseppe Bruno  Emilio Esposito  Andrea Genovese  Renato Passaro
Affiliation:1. Department of Business and Management Engineering (DIEG), University of Naples Federico II, Italy;2. Logistics & Supply Chain Management Research Centre, University of Sheffield, UK;3. Department of Technology (DIT), University of Naples Parthenope, Centro Direzionale di Napoli, Isola C4, 80143 Naples, Italy;1. CIISE, Concordia University, EV- 7.636, 1455 De Maisonneuve Blvd. West, Montreal, H3G 1M8, Quebec, Canada;2. Centre for Sustainable Supply Chain Engineering, Department of Technology and Innovation, University of Southern Denmark, Odense, Denmark;3. Faculty of Economics and Management, University of Kassel, Germany;1. College of Management of Technology, Ecole Polytechnique Fédérale de Lausanne (EPFL), Station 5, 1015 Lausanne, Switzerland;2. Louvain School of Management, Université catholique de Louvain (UCL), Chaussée de Binche 151, 7000 Mons, Belgium;3. IMD – International Institute for Management Development, Chemin de Bellerive 23, P.O. Box 915, 1001 Lausanne, Switzerland
Abstract:Supplier evaluation has assumed a strategic role in determining competitiveness of large manufacturing companies. An increasing number of researches have been devoted to the development of different kind of methodologies to cope with this problem. Nevertheless, while the number of applications is growing, there is little empirical evidence of the practical usefulness of such tools with a dichotomy between theoretical approaches and empirical applications. Considering this evidence, the goal of this paper is to contribute to understand the above dichotomy by implementing, in a corporate environment, a model for supplier evaluation based on the Analytical Hierarchical Process (AHP), one of the most prominent methodologies used to address the problem. The analysis of the implementation process of the methodology allows the identification of strengths and weaknesses of using formalized supplier selection models to tackle the supplier evaluation problem, also highlighting potential barriers preventing firms to adopt such methods. Relevant issues arising from the application and managerial implications for both customer and suppliers are discussed.
Keywords:
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