Determination of paths to vendor market efficiency using parallel coordinates representation: A negotiation tool for buyers

This study demonstrates the use of data envelopment analysis for measuring vendor performance and efficiency. An algorithm by Inselberg is employed for determining points of vendor efficiency on multiple criteria. This study then demonstrates how parallel coordinates graphical representation can be used to display the efficiency of vendors on multiple criteria, and, in so doing, visually identify benchmark values on these criteria for negotiating with inefficient vendors. An example of a firm purchasing in a JIT manufacturing environment is used to illustrate this approach. The results of this approach point to its flexibility for use in vendor negotiations.