Performance appraisement of supplier selection in construction company with Fuzzy AHP, Fuzzy TOPSIS, and DEA: A case study based approach

Abstract

In the present marketing environment, choosing the right suppliers is very difficult for any construction company. Current supplier selection models in the construction industry often suffer from limitations such as incomplete criteria coverage, inadequate handling of uncertainties, and oversimplification of decision-making, leading to sub-optimal supplier choices and project risks. This paper aims in selecting the best suppliers among the different M-Sand environment suppliers. In this study 13 qualitative criterions are selected by the expert team. For handling the attributes, uncertainties, vagueness associated with supplier selection problems the Fuzzy Delphi, Fuzzy Analytical hierarchal Process (AHP) and Fuzzy Technique for order preference by similarity to ideal solution (TOPSIS) methods were chosen. In the first phase of this study, Fuzzy Delphi Method is employed to select the 5 significant criterions. These criterions can be used to help the construction company in the direction to choose the right suppliers at the end. During the second phase, one of the significant Multi-criteria Decision Making Method called AHP is employed with extended support of fuzzy logic to evaluate the weightage of each criterion. Further ranking of various alternative suppliers are done by Fuzzy TOPSIS model. The ranking results indicate that A2 is the best supplier followed by A1 and A2. The third phase of this study deals with analyzing both the qualitative and quantitative criteria, hence Data Envelopment Analysis (DEA) is adopted to correlate the criteria. This is done to select efficient suppliers. The develop model is demonstrated in the construction industry.