Using MACBETH method for supplier selection in manufacturing environment

Abstract

Supplier selection is always found to be a complex decision-making problem in manufacturing environment. The presence of several independent and conflicting evaluation criteria, either qualitative or quantitative, makes the supplier selection problem a candidate to be solved by multi-criteria decision-making (MCDM) methods. Even several MCDM methods have already been proposed for solving the supplier selection problems, the need for an efficient method that can deal with qualitative judgments related to supplier selection still persists. In this paper, the applicability and usefulness of measuring attractiveness by a categorical-based evaluation technique (MACBETH) is demonstrated to act as a decision support tool while solving two real time supplier selection problems having qualitative performance measures. The ability of MACBETH method to quantify the qualitative performance measures helps to provide a numerical judgment scale for ranking the alternative suppliers and selecting the best one. The results obtained from MACBETH method exactly corroborate with those derived by the past researchers employing different mathematical approaches.

Keywords

• Supplier selection
• Multi-criteria decision analysis
• MACBETH method
• Semantic scale
• Rank