Multi criteria decision making approaches for green supplier evaluation and selection: a literature review

Recently, many companies have recognized the concepts of green supply chain management or supply chain environmental management. However, relatively little research attention has been devoted to the consideration of relations between greening the supply chain, green innovation, environmental performance and competitive advantage. Hence, this paper aims to bridge this gap by providing empirical evidence to encourage companies to implement green supply chain and green innovation in order to improve their environmental performance, and to enhance their competitive advantage in the global market. A model is constructed to link the aforementioned constructs. Data were collected through a questionnaire-based survey across 124 companies from eight industry sectors in Taiwan. The data are analyzed using Structural Equation Modeling and the results from the final measurement model are used to evaluate the structural model that verifies the significance of the proposed relationships. A prominent result of this study is that greening the supplier through green innovation contributes significant benefits to the environmental performance and competitive advantage of the firm.

The influence of greening the suppliers and green innovation on environmental performance and competitive advantage in Taiwan

Highlights? This study proposes a hybrid fuzzy multi criteria decision making model that can assist in evaluating green suppliers. ? The proposed model integrates DEMATEL, ANP and TOPSIS methods in a fuzzy context. ? Ford Otosan is selected as a case company in this study for the evaluation of green supplier alternatives. ? The supplied case study provides additional insights for research and practical applications. It is well known that "green" principles and strategies have become vital for companies as the public awareness increased against their environmental impacts. A company's environmental performance is not only related to the company's inner environmental efforts, but also it is affected by the suppliers' environmental performance and image. For industries, environmentally responsible manufacturing, return flows, and related processes require green supply chain (GSC) and accompanying suppliers with environmental/green competencies. During recent years, how to determine suitable and green suppliers in the supply chain has become a key strategic consideration. Therefore this paper examines GSC management (GSCM) and GSCM capability dimensions to propose an evaluation framework for green suppliers. However, the nature of supplier selection is a complex multi-criteria problem including both quantitative and qualitative factors which may be in conflict and may also be uncertain. The identified components are integrated into a novel hybrid fuzzy multiple criteria decision making (MCDM) model combines the fuzzy Decision Making Trial and Evaluation Laboratory Model (DEMATEL), the Analytical Network Process (ANP), and Technique for Order Performance by Similarity to Ideal Solution (TOPSIS) in a fuzzy context. A case study is proposed for green supplier evaluation in a specific company, namely Ford Otosan.

A novel hybrid MCDM approach based on fuzzy DEMATEL, fuzzy ANP and fuzzy TOPSIS to evaluate green suppliers

A fuzzy multi criteria approach for measuring sustainability performance of a supplier based on triple bottom line approach

Integrating sustainability into supplier selection with grey system and rough set methodologies

With growing worldwide awareness of environmental protection, green production has become an important issue for almost every manufacturer and will determine the sustainability of a manufacturer in the long term. A performance evaluation system for green suppliers thus is necessary to determine the suitability of suppliers to cooperate with the firm. While the works on the evaluation and/or selection of suppliers are abundant, those that concern environmental issues are rather limited. Therefore, in this study, a model for evaluating green suppliers is proposed. The Delphi method is applied first to differentiate the criteria for evaluating traditional suppliers and green suppliers. A hierarchy is constructed next to help evaluate the importance of the selected criteria and the performance of green suppliers. Since experts may not identify the importance of factors clearly, the results of questionnaires may be biased. To consider the vagueness of experts' opinions, the fuzzy extended analytic hierarchy process is exploited. With the proposed model, manufacturers can have a better understanding of the capabilities that a green supplier must possess and can evaluate and select the most suitable green supplier for cooperation.

https://ir.nctu.edu.tw:443/bitstream/11536/7282/1/000264528600071.pdf

A green supplier selection model for high-tech industry

With worldwide growing awareness of environmental protection, green production is becoming more and more important for manufacturing companies and will determine the sustainability of a company in the long term. A performance evaluation system for green suppliers is necessary to determine the suitability of suppliers to cooperate with the firm. While the research on the evaluation and/or selection of suppliers is abundant, the research that concerns environmental issues is very limited. Therefore, in this study, a model for evaluating green suppliers is proposed. A method similar to the Delphi method is first applied to obtain the criteria and sub-criteria for evaluating green suppliers. A hierarchy for evaluating green suppliers is constructed next by incorporating the selected criteria and sub-criteria. Based on the hierarchy, questionnaires are prepared, and managers of an anonymous TFT-LCD manufacturer are asked to fill out the questionnaires. Based on fuzzy extended analytic hierarchy process (FEAHP), the results of the questionnaires are analyzed, and a ranking of green suppliers can be obtained. With the proposed model, manufacturers can evaluate the green suppliers and select the most suitable green supplier for cooperation.

Hsiao-Chu Hung

Papers

A green supplier selection model for high-tech industry

Green supplier selection using fuzzy-extended analytic hierarchy process