A Goal programming model for supplier selection problem

A GOAL PROGRAMMING MODEL FOR SUPPLIER SELECTIONPROBLEM(M.Sc. Thesis)Evren Can ÖZCANGAZI UNIVERSITYINSTITUTE OF SCIENCE AND TECHNOLOGYDecember 2006ABSTRACTWith increasingly competitive global world markets, companies have beenunder intense pressure to find ways to reduce production and material costs tosurvive and sustain their competitive capability in their respective markets.Since a qualified supplier is a key element and a good resource for a buyer inreducing such costs, evaluation and selection of the potential suppliers hasbecome an important component of supply chain management. In the content ofthis thesis, supplier selection has been handled as a multi-objective decisionproblem and a goal programming approach has been used for the solution ofthis problem. For the application, an electrical heating elements factory hasbeen selected and three goals which will be achieved for this system have beenspecified with the firm?s managers. A deterministic linear goal programmingmodel has been established with the realistic data and then eight suppliers havebeen evaluated for the most critical three elements of the product.Consequently, the most suitable supplier combination has been composedaccording to the firm?s objectives.Science Code : 906.1.141Key Words : Supply chain management, supplier selection, goalprogrammingPage Number : 148Adviser : Assist.Prof.Dr. Bahar Özyörük