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Industrial Engineering & Management

ISSN: 2169-0316

Open Access

Selection of Best Supplier by Using AHP Approach for Managing Risk Factors in Logistics: A Case of Leather Products Industry

Abstract

Md. Abdul Moktadir, Towfique Rahman and Razia Sultana

In the current competitive business environment today, leather products companies face numerous risks in the logistics network. Hence, managing logistics risks in the existing leather products supply chains are necessary to perform better in the global market. To overcome the logistics risks, best supplier section is one of the most crucial tasks for leather products companies. Therefore, an agile decision support framework is necessary for managing risks in logistics network. This study aimed to support leather products company’s decision makers by selecting best supplier considering risks factors in logistics with the help of powerful Analytical Hierarchy Process (AHP) approach. It is a dynamic and very usable Multi Criteria Decision Making (MCDM) tool which can help decision maker to evaluate the best supplier when any supplier is unable to perform their tasks. In this research, we evaluated the best supplier by prioritizing of available suppliers with considering risks factors in logistics. This research will assist the leather products company’s decision-makers to formulate some tactic and strategic policy to minimize the logistics risks.

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