A Network-Multi-Criteria Decision Analysis with Super Decision for Vendor Selection in the Automotive Component Industry

Open

Edi Susanto, Giardhany, Norfaridatul Akmaliah Othman, Mugi Praseptiawan, Arif Imran, Yana Hendriana

2023 Malaysian Journal of Consumer and Family Economics Vol. 31 Article Cited by 1 SDG 9SDG 17 Quartile

Abstract

The automotive component companies needed to improve their quality to meet global standards continuously. A key success factor in achieving this process is enhancing the system's purchasing activities of vendor selection. SA Indonesia is a company that carries out business in automotive components for vendors chosen by weighting and assessing multi-criteria decision-making (MCDM). However, the company faces the lack of ability to consider interconnections between criteria that the firm values and other factors, such as price, delivery, flexibility, quality, and services. It is also important for companies to possess adequate vendor capability for sustainability and safety-health management, enabling them to determine the selection criteria. These attributes are rare in preliminary studies; therefore, companies needed utilize proper criteria to get the best vendors. Furthermore, this research integrates the AHP-ANP method to tackle the problem of selecting a vendor, using the ANP method assisted by a super decision (SD) software application. The results showed that the highest vendor selection criterion is price, while the lowest is safety. In addition, based on the analysis conducted on five vendor alternatives assessed using the ANP method, the highest vendor rank is JFESS Indonesia. Future studies can be developed by including information technology (IT) security in the selection of vendor attributes, bearing in mind the challenges ahead with the progress of developing a procurement integration system in a procurement management system, based on enterprise resource planning (ERP), in supporting digitalization in the manufacturing 4.0 era. But with an overall secure enterprise data security design. © 2018 Malaysian Consumer and Family Economics Association (MACFEA).

Affiliations

Faculty of Industrial Technology, Institut Teknologi Nasional Bandung, Indonesia; Faculty of Technology Management and Technopreneurship, Universiti Teknikal Malaysia Melaka, Malaysia; Teknik Informatika, Institut Teknologi Sumatera, Lampung, Indonesia; Faculty of Information Technology, Universitas Nahdlatul Ulama Yogyakarta, Indonesia

Research at a Glance

Premium content — register to unlock

Research at a Glance

Register to unlock

Topics & SDG Alignment

Premium content — register to unlock

Topics & SDG Alignment

Register to unlock

Collaboration

Premium content — register to unlock

Collaboration

Register to unlock

Author Profile (Selected)

Premium content — register to unlock

Author Profile (Selected)

Register to unlock

References Overview

Premium content — register to unlock

References Overview

Register to unlock

Journal & Source

Premium content — register to unlock

Journal & Source

Register to unlock

Metadata & Integrity

Premium content — register to unlock

Metadata & Integrity

Register to unlock