Original scientific paper

QUANTITY DISCOUNTS IN SUPPLIER SELECTION PROBLEM BY USE OF FUZZY MULTI-CRITERIA PROGRAMMING

Tunjo Perić ; Bakeries Sunce, Raktije, Croatia
Zoran Babić ; Faculty of Economics, University of Split, Split, Croatia

Abstract

Supplier selection in supply chain is a multi-criteria problem that involves a number of quantitative and qualitative factors. This paper deals with a concrete problem of flour purchase by a company that
manufactures bakery products and the purchasing price of flour depends on the quantity ordered. The criteria for supplier selection and quantities supplied by individual suppliers are: purchase costs, product quality and reliability of suppliers. The problem is solved using a model that combines revised weighting method and fuzzy multi-criteria linear programming (FMCLP). The paper highlights the efficiency of the proposed methodology in conditions when purchasing prices depend on order quantities.

Keywords

vendor selection; fuzzy linear programming; revised weighting method; price breaks

Hrčak ID:

96617

URI

https://hrcak.srce.hr/96617

Publication date:

28.2.2011.

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