supply chain management analyzing/modelling
Jahanyar Bamdad Soofi; Samin Saeidpour; Fatemeh Mohammadnezhad Chari
Abstract
Developing the right sourcing strategy in corporate supply management is so critical for today's executive managers. Manufacturers must be aware of the complexities and risks of sourcing at a competitive cost to ensure the availability of long-term materials and components. They have to deal with uncertainty ...
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Developing the right sourcing strategy in corporate supply management is so critical for today's executive managers. Manufacturers must be aware of the complexities and risks of sourcing at a competitive cost to ensure the availability of long-term materials and components. They have to deal with uncertainty and supply/price trade-off. This can lead to a variety of supply strategies including concurrent outsourcing in addition to the strategy of sourcing. After classifying the selected items on the basis of Kraljic supply portfolio model, 39 factors affecting sourcing were identified according to three approaches concerning “risk management”, “Resource Base View” and “Transactional Cost Theory”. Then the above-mentioned factors were screened and localized according to the Fuzzy hypothesis test questionnaire and finally, 15 criteria were selected. In the next step, the relationships obtained from the DEMATEL method were used for the Analytic Network Process to determine the weight of each indicator. Then, according to the weight of each indicator, the decision was made on how to supply each group of items through the PROMETHEE questionnaire and the results were compared with Kraljic instructions. Finally, according to the results, the relevant strategies of sourcing were suggested based on Kraljic model. The best strategy for the group of “strategic goods” was related to internal production. If the goods are classified on the group of “leveraged and non-critical” it will be better to outsource. Finally, the most suitable strategy for the group of “bottleneck goods” is concurrent sourcing.