A new approach for supplier selection using fuzzy MCDM

The aim of this paper is to propose a new framework for supplier selection using FAHP and TOPSIS methods. As the human decision‐making process usually contains fuzziness and vagueness, so linguistic values are used to assess the ratings and weights for criteria. A hierarchy multiple criteria decision‐making (MCDM) model based on fuzzy‐sets theory including FAHP adopted for finding weights of criteria and its sub‐criteria and then for the final ranking of the suppliers TOPSIS method is used in a real industry case. This study concluded that the ranking of the main criteria and sub‐criteria in all the suppliers are the same. Drawing on a real case, supplier A was identified to be the best supplier. Also, it can be said that TOPSIS method is a useful additional tool for the problem. More research is definitely called for within the context of studying a more complex supply chain with multiple supply network and nodes. There is also a crucial need for investigating other hybrid methods to find the optimum supplier. The proposed criteria can be applied both in industrial and service organisations with slight modifications.