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South African Journal of Industrial Engineering

On-line version ISSN 2224-7890
Print version ISSN 1012-277X

Abstract

YILDIZ, A.  and  YAYLA, A.Y.. Multi-criteria decision-making methods for supplier selection: A literature review. S. Afr. J. Ind. Eng. [online]. 2015, vol.26, n.2, pp.158-177. ISSN 2224-7890.

A firm's multi-criteria decision-making (MCDM) process is important because of its need to select and work with various suppliers. The process identifies the problems associated with selecting the supplier, , determining convenient criteria, expressing interactions clearly, and usage. These are all suitable methods for finding a solution to these MCDM problems. Considering more than one criterion (and even the sub-criteria of these criteria) during supplier selection makes the selection uncertain. Conventional methods cannot generate a realistic solution to the problem. Using MCDM methods considerably simplifies solving the problem, and enables decision-makers to make better decisions. In this study, a literature review was performed on MCDM methods used between 2001 and 2014 for the supplier selection problem. MCDM methods used in supplier selection are categorised into three main methods, and a summary table of the reviewed studies is presented.

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