Monitoring vendors performance using AHP joint with traceable control charts

The purchasing process is known vital to strategic operation of any production organization. This vitality is essentially due to impact of material availability, costs, quality, etc. on the total performance of the organization. Thus, evaluation and control of vendors would be a key operation. This article focuses on monitoring vendors’ performance. Several aspects of performance is recognized and the most important will be concentrated. Then, the monitoring operation is described step by step. Analytical hierarchy process (AHP) as a multiple attribute decision making tool is applied and a group decision making process will be introduces accordingly. Afterward, a control system named traceable control charts based on statistical process control charts is developed to control the accuracy of such a monitoring system. Mechanism of this system is examined in different conditions and is illustrated in a case study.

Keywords:

purchasing management , control charts , group decision making , AHP