DOI: 10.5176/2251-1938_ORS18.35
Authors: Y. T. CHEN, William CHUNG
Abstract:
In sustainable supply chain management, companies are expected to meet stakeholder requirements, including profit improvement, ecological efficiency, and social responsibility. Hence, the selection of the most sustainable suppliers becomes an important issue. We suggest that DEA analysis be employed for supplier selection process. Different performance factors of suppliers will be considered in conducting DEA analysis. Subsequently, we will classify these factors into three dimensions (supplier chain, environment, and social) like three pillars of national sustainable development (economic, environment, and social). If these factors can be categorized into three dimensions, then a simple DEA model for each dimension can generate efficiency scores of each supplier for the selection process. However, certain factors may belong to two dimensions. For instance, green product design belongs to the SC and environmental dimensions. To resolve this issue, we proposed an overlapping approach to obtain an aggregate score, by which DEA analysis can still be used.
Keywords: Sustainable supply chain management; Sustainable supplier selection; DEA method
