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Journal : OPERATION EXCELLENCE: Journal of Applied Industrial Engineering

Analysis of coffee bean supplier selection using AHP-TOPSIS methods: case study on a ready-to-use coffee powder company Sanjaya, Yahya Cakra; Pulansari, Farida; Rahmawati, Nur
Operations Excellence: Journal of Applied Industrial Engineering Vol. 16, No. 1, (2024): OE March 2024
Publisher : Universitas Mercu Buana

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.22441/oe.2024.v16.i1.100

Abstract

The global market competition that companies must face along with increasingly competitive market developments means that each company has its own challenges in preparing competitive strategies. PT. XYZ is a company that operates in the field of coffee bean processing. The related problems that occur are frequent delays in sending raw materials by suppliers which results in delivery delays, which means they are related to supplier selection problems. Therefore, in this research, the AHP TOPSIS method was used to conduct supplier analysis, AHP is utilized to make decisions and consider multiple factors, subsequently ranking them. Meanwhile, TOPSIS is employed to address multi-criteria problems by comparing the best alternative with the worst alternative among many options. The results of this research are that Supplier 4 is in first place with a preference value of 0.6510, while the second and third places are occupied by Supplier 1 and Supplier 3 respectively.
Enhancing supplier management strategies: integrating purchasing and supplier potential matrices in furniture manufacturing Susanto, Indhira Prameswari; Pulansari, Farida; Rahmawati, Nur
Operations Excellence: Journal of Applied Industrial Engineering Vol. 16, No. 2 (2024): OE July 2024
Publisher : Universitas Mercu Buana

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.22441/oe.2024.v16.i2.107

Abstract

Supplier segmentation is one of the most important supply chain activities for most companies that collaborate with many suppliers such as in furniture manufacturing. Purchasing Portfolio Matrix (PPM) is a segmentation method that considers two dimensions (supply risk and profit impact) which are the basis for classifying materials to be purchased by the company. Supplier Potential Matrix (SPM) is a new supplier segmentation approach that includes two dimensions (capabilities and willingness). These two approaches are important because they have different focuses, namely PPM on suppliers while SPM on relationships. Therefore, the main objective of this research is to classify suppliers using a combination of PPM and SPM and determine the appropriate relationship management strategy. Data collection was carried out in the case of one manufacturing company that works with 74 raw material suppliers. Best Worst Method (BWM) is used to determine the criteria weights in both segmentation approaches. So from the 74 suppliers, the results were 7 suppliers in PPM1, 43 suppliers in PPM2, 5 suppliers in PPM3, and 19 suppliers in PPM4 and different strategies were obtained so that this combined PPM-SPM approach was able to improve supplier management.