Fuzzy-AHP and Fuzzy Saw Application for Sustainable Supply Chain Management

Fuzzy-AHP and Fuzzy Saw Application for Sustainable Supply Chain Management

DOI: 10.4018/978-1-6684-8356-5.ch012
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Abstract

Sustainable supply chain management (SSCM) governs material, information, and capital flows. One of the most important operational responsibilities for carrying out SSC operations is the assessment and selection of a supplier. SSC performance indicators are critical for such operations. Current studies consider only partial aspects and do not include the triple bottom lines of sustainability. In this regard, the authors developed a metric that includes environmental, social, and economical indicators concerning supplier evaluation. The Fuzzy-AHP methodology was adopted to capture more consistent results among the indicators. These indicators were determined with a comprehensive literature review and validated by 6 supply chain experts. Analysis was carried out with Fuzzy-AHP to indicate the most critical indicators by calculating those weights. Fuzzy SAW was implemented to validate the results. Relying on the outcomes, social indicators are revealed to be the most important factors in SSCM.
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Introduction

Due to the increase in environmental awareness in the society, low cost, high quality and fast suppliers who are sensitive to environmental issues are the reason for preference. Environmental management emerges as a holistic issue involving corporate stakeholders involving shareholders, administration, personnels, rivals, customers and public groups. One of the important approaches of GSCM is choosing green supplier. When the studies about green supplier selection (GSS) are analyzed, it is seen that some parameters come to the fore in this regard. While quality, price and service level are common classical criteria used in supplier selection, in addition to these, carbon footprint, energy efficiency, water use and recycling are common environmental criteria (Banaeian et al., 2014).

In this paper, green supplier selection criteria were established in a textile factory. In this study, fuzzy AHP method was utilized for (weight)ing in GSS criteria. Fuzzy SAW method was utilized for the validation of the results. The main reason for choosing both methods based on fuzzy logic is to achieve more realistic results. The main theme of the work is prepared as noted below. Firstly, literature is explained. Secondly, applied methods and fuzzy set theory are expressed. Later, the application is presented. The results are commented in the conclusion.

Key Terms in this Chapter

Pairwise Comparison: It is the comparison of criteria with each other.

SAW: It is the method that determines the degree of importance of the criteria based on weighted evaluation.

Sustainability: The limitation of economic, social, and environmental resources.

SCM: It is the system that regulates the flow of material, information and money while ensuring that the goods to be sent to the customer are delivered in a low cost, fast and quality way.

Fuzzy Logic: It is the method used to get more realistic results in evaluating the criteria.

AHP: It is a method that allows to find the weight of the criteria based on pairwise comparison.

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