MCDM Approaches for Supplier Selection in Sustainable Supply Chain Management

Dalia Štreimikienė (), Ahmad Bathaei and Justas Streimikis
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Dalia Štreimikienė: Lithuanian Centre for Social Sciences, Institute of Economics and Rural Development, 03220 Vilnius, Lithuania
Ahmad Bathaei: Lithuanian Centre for Social Sciences, Institute of Economics and Rural Development, 03220 Vilnius, Lithuania
Justas Streimikis: Lithuanian Centre for Social Sciences, Institute of Economics and Rural Development, 03220 Vilnius, Lithuania

Sustainability, 2024, vol. 16, issue 23, 1-15

Abstract: This article examines the significance of Sustainable Supply Chain Management (SSCM) within the Iranian automotive sector, emphasizing the assessment of suppliers’ sustainability performance in light of increasing global environmental concerns and regulatory demands. This study employs the TOPSIS (Technique for Order of Preference by Similarity to Ideal Solution) method to evaluate five principal suppliers—SAPCO, MEGA Motor, Crouse Company, Sazehgostar, and ITMCO—based on twelve criteria: green initiatives, quality, waste reduction, eco-design, reverse logistics, sustainable investments, financial costs, management commitment, strategic capabilities, customer satisfaction, innovation, and trust. Findings indicate that SAPCO and Sazehgostar demonstrate superior sustainability owing to their strong environmental policies, whereas MEGA Motor, Crouse Company, and ITMCO reveal aspects requiring enhancement. The results underscore the imperative of incorporating SSCM principles to improve supply chain efficiency and sustainability. Despite the apparent high costs of SSCM implementation, research indicates that the advantages include enhanced productivity and regulatory compliance. The research additionally advocates for more investigation into SSCM-related variables and the influence of upcoming technologies. Adopting SSCM enables automotive firms to comply with regulatory mandates and satisfy consumer demands, promoting a more sustainable and competitive sector.

Keywords: sustainable supply chain management (SSCM); automotive industry; TOPSIS method; supplier evaluation; environmental performance; Iranian automobile industry (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2024
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