A BSC method for supplier selection strategy using TOPSIS and VIKOR: A case study of part maker industry

In recent decades, provision-chain management has been one of the major concepts. The main reason that attracts attention to the concept is the increase in competition and struggle for the survival. There are different ways to increase the competition in organizations such as increasing productivity by acquiring information technology. In this paper, we present an integrated model with the balanced score card framework for supplier selection strategy. The proposed model of this paper gathers 161 important factors suggested in the literature and selects the six most important ones using different multi criteria techniques. We also propose a goal programming techniques with some hard constraints and implement the mathematical model for real-world case study of auto industry. The proposed model is solved in four different forms using TOPSIS, VIKOR and the combination of these 2 factors with factor analysis. The preliminary results indicate that a combination of VIKOR and factor analysis presented better results with 9% reduction in costs, 38% increase of quality, and 3.2% increase in acceptability.