Methodology for the supplier selection and valuation problem by using a combined grouping and multi-criteria approach

Anyi Reyes, John Willmer Escobar and Julio Cesar Londoño

International Journal of Logistics Systems and Management, 2023, vol. 46, issue 2, 174-205

Abstract: The supplier selection problem (SSP) determines the choice of the best suppliers by considering qualitative and quantitative criteria. This paper proposes a two-stage hybrid methodology for selecting suppliers using the K-means grouping technique and the multi-criteria decision-making technique for order performance by similarity to ideal solution (TOPSIS). In particular, suppliers are grouped according to the K-means algorithm using diverse purchase categories of services and goods. Once the groups of suppliers with the best performance have been generated by considering several criteria, the TOPSIS algorithm establishes their ranking. The proposed approach seeks to minimise the purchase cost by selecting the suppliers with the best results under different criteria. The former methodology has been tested in a real case on a company belonging to the agro-industrial sector in Colombia. The obtained results show the efficiency of the proposed approach.

Keywords: supplier selection; k-means grouping method; MCDM; supply chain management; TOPSIS. (search for similar items in EconPapers)
Date: 2023
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.inderscience.com/link.php?id=134401 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ids:ijlsma:v:46:y:2023:i:2:p:174-205

Access Statistics for this article

More articles in International Journal of Logistics Systems and Management from Inderscience Enterprises Ltd
Bibliographic data for series maintained by Sarah Parker ().