A performance benchmarking system to support supplier selection

Henry C.W. Lau, Ka Man Lee, George T.S. Ho, K. F. Pun, King Lun Tommy Choy

Research output: Journal article publicationJournal articleAcademic researchpeer-review

28 Citations (Scopus)

Abstract

In today's competitive business environment, management of suppliers is essential for companies to monitor the value chain of the entire production network. Evidence suggests that undesirable occurrences in companies, such as extensive delays in the planned schedule, serious quality problems and cost overruns, are, to a certain extent, related to the unfulfilled promises of business partners. Subjective judgment and the lack of a systematic method for supplier selection hinder the analysis of the current and projected performance of the suppliers, which is necessary before making a final decision. This paper attempts to propose a generic model for supplier selection, focusing on the methodology to benchmark the potential suppliers and providing a comparison of performance measures based on a number of relevant criteria. To validate the feasibility of the proposed system, this paper makes use of existing AI tools that have been developed for selecting and benchmarking suppliers for manufacturing firms.
Original languageEnglish
Pages (from-to)132-151
Number of pages20
JournalInternational Journal of Business Performance Management
Volume8
Issue number2-3
DOIs
Publication statusPublished - 8 May 2006

Keywords

  • Artificial neurral network
  • Genetic algorithm
  • Performance benchmarking
  • Supplier management
  • Supplier selection
  • Supply chain management

ASJC Scopus subject areas

  • Business and International Management
  • Strategy and Management

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