Evaluation of Sustainable Supplier Selection Problem in Manufacturing Industry Using SWARA Method

Abstract

Manufacturing companies can gain competitive advantage by developing sustainable relationships with suppliers. Sustainable supplier selection also includes supplier evaluation in line with economic, social and environmental outcomes. There are many suppliers in the market and the most suitable one should be selected. In supplier selection, many factors such as supplier performance, competence, process follow-up, price, effective communication, technological aptitude and after-sales support play a role. This research was planned to select the most suitable supplier among five suppliers in the raw material selection used in the production line of an electrical materials manufacturing factory located in Hadımköy, Istanbul. First of all, a supplier selection team was formed with 5 people who were the business owner, economist, political scientist manager and academician in the field of business. It was aimed to solve the problem with the SWARA method according to the criteria of quality, delivery, cost, service, supplier company, innovation and sustainability in line with the literature and face-to-face interviews. When the criteria are evaluated according to their importance, delivery is the first criterion (1.55), followed by quality (1.07), cost (0.91), supplier company (0.81), service (0.7), innovation and sustainability (0.55). Delivery is the most important for the manufacturing company in question. Delivery that is not made on time and appropriately affects production. When customer demands cannot be met on time, customers may prefer other companies. Loss of customers will reduce the company's income.