Fuzzy analytic hierarchy based approach for supplier selection and a case study in industrial sector

In todays marketing conditions in which there is a intensive competition, the worth given to effective prosess management has improved at firms gaining superiority. Because supply chain, which belong to companies, performance of other members influences success of companies directly; it is not merely related to their own performances to display high performance in the sector they are present. Supplier selection that effect directly the cost of product at the same time effect indirect with the production firstly, firm?s different prosesses, and also reflect the firm?s profit. Because of that, supplier selection which included in supply chain management is the most important desicion making problem. The main purpose of supplier selection problem is to select the supplier corresponding to the most appropriate cost to firms strategies and expectations through the alternatives.In this study, supplier selection problem of a canned food company, operating in İzmir is discussed. Because of the problem include many qualitative and quantitative criterians, in order to simplify desicion making process of supplier selection and to reflect respond sensitivity of the desicion maker, fuzzy analytic hierarchy process methodology is preferred in the solution. The first step of supplier selection problem consist of process definition, identification of required criterians to assess alternatives and development of hierarchic structure. Cause of correctness of hierarchic structure development, affect the accuracy of problem solution, literature study and expert opinion is used to identify criterians. In the second step of the solution, main criterians, sub criterians and supplier alternatives weights are idendified with the help of binary comparison, linguistic variables and triangle fuzzy numbers. Lastly in the third step, to select the best supplier, the priority value of three supplier alternatives has idendified and supplier that has the best score has selected.