Optimum supplier selection based on a hybrid MCDM approach: AHP-VIKOR

In recent decades, the selection of suitable suppliers as one of the important issues in the field of supply chain management is considered. The evaluation and selection of the best suppliers need to make decisions based on different criteria. In this study, a hybrid MCDM approach consists of AHP and VIKOR methods has been proposed that at first paid to identify the most important criteria in the supplier selection based on previous studies and interviews with company executives. Then by using questionnaires, the paired comparisons of criteria and paired comparisons matrix of groups according to the views of managers and based on Analytic Hierarchy Process (AHP) is performed. Next, using a multi-criteria optimization technique (VIKOR), firm's suppliers are ranked. Furthermore, a case study in the automotive industry is applied to accumulate data for proposed framework. Finally, by identifying effective criteria, appropriate suppliers, and similarity of obtained results with other studies, the efficiency of the proposed model is proved.