A Data Envelopment Analysis (DEA) Model for Supplier Selection by Considering Sustainable Criteria: A Case Study in a Stone Industry

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Abstract:
Supplier selection is a vital process in which the vender tries to improve its relations with the chosen suppliers. In this procedure, by considering all alternatives and criteria evaluation, suppliers are selected. One of the methods used to evaluate and choose suppliers is Data Envelopment Analysis (DEA). This paper proposes a model to evaluate suppliers with DEA. Sustainability criteria, which includes measures of three aspects, social, economic and environmental, are considered and three approaches, aggressive, benevolent and conservative of DEA, for considering all policies of organizations is utilized. In this research, a case study is conducted at a stone factory. Data’s of 19 quarries as suppliers in this research, is collected and top 10 suppliers are chosen and suggested to the factory. This model is solved with GAMS and finally, sensitivity analysis on the top ranked suppliers, displays importance of the criteria to help other suppliers to improve their performance.
Language:
Persian
Published:
Journal of Strategic Management Research, Volume:21 Issue: 59, 2016
Pages:
89 to 115
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