Prioritising indicators in improving supply chain performance using fuzzy AHP: insights from the case example of four Indian manufacturing companies

Kannan Govindan*, Sachin Kumar Mangla, Sunil Luthra

*Corresponding author for this work

Research output: Contribution to journalJournal articleResearchpeer-review

Abstract

In this contribution, we aim to prioritise the indicators to enhance the organisational supply chain’s (SC) effectiveness from an industrial perspective. It will help industries to develop strategies for managing the SC effectively and ensuring improvement in performance continuously. To achieve this, this work proposes to use a two-phase research methodology. First, 36 SC performance improvement indicators are recognised from a literature survey and from field and industrial expert’s inputs. Secondly, a structural model is proposed using the fuzzy analytical hierarchy process (AHP) to prioritise the indicators strategically to improve the SC performance. The fuzzy AHP method helps determine the priority of concerns of the identified indicators under fuzzy surroundings. Inputs in this research are taken from four ancillary Indian plastic manufacturing firms. Research findings indicate that collaborations and information exchange dimension indicators obtained the highest priority in improving SC performance. The model proposed is considered very useful for the SC managers/practitioners/decision-makers to understand better and distinguish the essential SC performance improvement indicators and to take systematic decisions specifically to improve the performance of business in a SC context. Sensitivity analysis was conducted to examine the priority ranking of the indicators.

Original languageEnglish
JournalProduction Planning and Control
Volume28
Issue number6-8
Pages (from-to)552-573
ISSN0953-7287
DOIs
Publication statusPublished - 2017

Keywords

  • fuzzy analytic hierarchy process (FAHP)
  • multi criteria decision making (MCDM)
  • SC performance improvements indicators
  • sensitivity analysis
  • Supply chain management (SCM)

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