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All Journal International Journal of Economics Development Research (IJEDR)
Saraswati, Mia
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Economics, Econometrics & Finance Social Sciences

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Selection Analysis of Secondary Pharmaceutical Industry Contract Manufacturers with Fuzzy Analytical Hierarchy Process (FAHP) Method Saraswati, Mia; Kusumastuti, Ratih Dyah
International Journal of Economics Development Research (IJEDR) Vol. 5 No. 4 (2024): International Journal of Economics Development Research (IJEDR)
Publisher : Yayasan Riset dan Pengembangan Intelektual

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.37385/ijedr.v5i4.5134

Abstract

This study aims to analyze the selection of contract manufacturer in secondary pharmaceutical industry using Fuzzy AHP. This study employs a quantitative approach using statistical analysis to assess the validity and reliability of the data then subsequently mapped into a matrix model. The Fuzzy AHP is applied to conquer the ambiguity and vagueness of personal knowledge. Six criteria were identified named quality, cost, service performance, compliance, delivery, and operational. The evaluation is conducted by a committee of five decision makers that include purchasing manager, toll manufacturing manager, production manager, quality assurance manager, and quality control manager of the industry. The results revealed that quality is the most important criteria in determining the selection of contract manufacturers in secondary pharmaceutical industry, followed by cost, compliance, delivery, operational and service performance. According to the results, contract manufacturer 2 was chosen to be the best to outsource operational activities of the industry. The results show that the proposed method could provide promising results in decision making process more appropriately. The proposed evaluation criteria provide a reference for pharmaceutical industry practices in the selection of contract manufacturers using Fuzzy AHP.
Co-Authors Ratih Dyah Kusumastuti