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A strategy-based framework for supplier selection: a grey PCA-DEA approach

Author

Listed:
  • Adel Hatami-Marbini

    (De Montfort University)

  • Siavash Hekmat

    (Karafarin Bank)

  • Per J. Agrell

    (Universite catholique de Louvain)

Abstract

Supplier selection is one of the key competencies in the sourcing function. Considering the important role of suppliers in the strategy framework of supply chains, it is surprising that the sourcing function has not been subject to more focused research on the development of adequate decision support tools. The relatively simplified ranking systems that often have been presented on an ad hoc basis offer only partial information on the decision. This research attempts to develop a unified and integrated structure for supplier selection practices across a supply chain on the basis of strategic planning. Our evaluation is conducted by means of a multi-attribute efficiency analysis models and a multivariate statistical method, a so-called principal component analysis-data envelopment analysis (PCA-DEA) approach, to support supplier relationship management under uncertainty. The main contribution of this paper is to address the gap in the supply chain management (SCM) literature by proposing a strategy-based method for supplier selection problems when data are interrelated and interdependent. The proposed method in this study is applied to a real-world case study in agri-food industry to demonstrate the advantages and applicability of the proposed framework.

Suggested Citation

  • Adel Hatami-Marbini & Siavash Hekmat & Per J. Agrell, 2022. "A strategy-based framework for supplier selection: a grey PCA-DEA approach," Operational Research, Springer, vol. 22(1), pages 263-297, March.
    • Handle: RePEc:spr:operea:v:22:y:2022:i:1:d:10.1007_s12351-020-00556-8
    DOI: 10.1007/s12351-020-00556-8
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    Cited by:

    1. Katerina Fotova Čiković & Ivana Martinčević & Joško Lozić, 2022. "Application of Data Envelopment Analysis (DEA) in the Selection of Sustainable Suppliers: A Review and Bibliometric Analysis," Sustainability, MDPI, vol. 14(11), pages 1-30, May.
    2. Pankaj Dutta & Bharath Jaikumar & Manpreet Singh Arora, 2022. "Applications of data envelopment analysis in supplier selection between 2000 and 2020: a literature review," Annals of Operations Research, Springer, vol. 315(2), pages 1399-1454, August.
    3. Özlem Arslan & Necip Karakurt & Ecem Cem & Selcuk Cebi, 2023. "Risk Analysis in the Food Cold Chain Using Decomposed Fuzzy Set-Based FMEA Approach," Sustainability, MDPI, vol. 15(17), pages 1-20, September.
    4. Fayu Chen & Jinhao Liu & Xiaoyu Liu & Hua Zhang, 2023. "Static and Dynamic Evaluation of Financing Efficiency in Enterprises’ Low-Carbon Supply Chain: PCA–DEA–Malmquist Model Method," Sustainability, MDPI, vol. 15(3), pages 1-17, January.

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