Supplier Selection Using Analytical Hierarchal Process and Grey Relational Analysis

Literature indicated that to select supplier in supply chain, it is better quantitative and qualitative criteria considered simultaneously in supplier assessing. To get this goal we should use technique that regards an appropriate set of quantitative and qualitative criteria. The goal of this article is developing and applying as assessing model to select supplier with regarding quantitative and qualitative criteria. So we used analytical hierarchal process and grey relational analysis. Research method was development and field study. Supplier data and weights of criteria were gained using document and manager's comments. To assess suppliers, first quantitative and qualitative criteria were determined and analytical hierarchy process was used to weight these criteria. Then to rate suppliers grey relational analysis was used. Results indicated that using integrated model we can consider quantitative and qualitative criteria simultaneously in assessing suppliers. Also flexibility and easy to use are advantages of the model. To experiment reliability of integrated model, suppliers were assessing many times with different coefficient of determination. Regarding different coefficient of determination between 0.1 and 1, results were similar. Hence using provided integrated model for supplier selection is a reliable method.