GREEN SUPPLIER SELECTION USING THE MCDM APPROACH : AN ANALYSIS BASED ON A MANUFACTURING FIRM

Abstract

With increasing government regulations and growing awareness of the harmful/hazardous effects of pollutants resulting from rapid industrialisation, organisations can no longer turn a blind eye to environmental concerns. To even compete in the global market, it is essential to prioritise environmental issues. Essentially, manufacturing industries play an instrumental role in developing a country's economy in this globalised landscape. In this globalised scenario, the overall performance of manufacturing industries has been the backbone of developing the countries’ economies. Incorporating the green criteria into the selection practices of conventional suppliers is vital for organisations promoting green supply chain management. Procurement and supplier management professionals have broadly recognised challenges associated with supplier selection. Developing and implementing practical decision-making tools that cater to these challenges are drastically changing and evolving. MCDM approach have been applied in the literature to identify suitable GSCM practices of the selected manufacturing company. Some of the popular MCDM approaches include Analytical Hierarchy Process (AHP), the Technique for Order Preference by Similarity to Ideal Solution (TOPSIS), and Preference Ranking Organization Method for Enrichment Evaluation (PROMETHEE). With the help of the Triangular Interval-Valued Fuzzy TOPSIS Method, it is concluded that the five demographic characteristics are majorly linked with categorising the selected industry and determines its performance in the sector of manufacturing. This project also has implications for supply chain management managers to solve problems pertaining to Multi-Criteria Decision Making and connected to the implementation of Green Supply Chain Management practices in the selected firm. The same evaluation criteria may be applied to solve other MCDM problems, like evaluating success factors to implement GSCM practices.