A state-of-art review on supplier selection problem

Many supplier selection problems are involved with various criteria such as quality of supplier, price, delivery time, etc. This paper presents a survey on the implementation of using different multi criteria decision making (MCDM) methods for supplier selection problems. The reviews covers recent advances of MCDM techniques such as data envelopment analysis (DEA), analytical hierarchy process, etc. over the period 2000-2012. The review also reveals that nearly 60% of the applications are associated with business unit, 15% is related to economy, 9% is devoted to service and development and 8% is dedicated to research and development. In our survey, DEA has become the most popular technique for supplier selection problem followed by Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) and Analytical Hierarchy Process (AHP).