A Thesis Submitted as a Partial Fulfillment of the Requirements for the Degree of Master of Art in Industrial Management (M. A.) Sub-Discipline: Production and operation

Selecting a supplier is a critical issue that supply chain managers have faced for many years. Selecting a proper supplier is no longer as easy as selecting based on the price they offer. There are many quantitative and qualitative criteria that should be considered. Therefore, an approach is needed to cover these criteria. As supply chains become more important today, it is important to consider the risks of inadequate supply in evaluating suppliers. This paper provides an approach that focuses on data envelopment analysis to analyze and compare the relative efficiency of suppliers. Since data envelopment analysis can only cover quantitative properties, the Analytic Hierarchy Process (AHP) is used to help the qualitative analysis. Risks are also considered in the evaluation of suppliers. The purpose of the proposed approach was to provide a comprehensive approach to address the issue of supplier selection.

Keywords:

Multi-Criteria Decision-making , AHP , Data Envelopment Analysis , Risk Considerations , Supplier Selection