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A NEW WAY OF APPLYING INTERVAL FUZZY LOGIC IN GROUP DECISION MAKING FOR SUPPLIER SELECTION
(Publishing House of the Academy of Economic Studies, Romania, 2018) Puška, Adis; KOZAREVIĆ, Safet; STEVIĆ, Željko; STOVRAG, Jasmin
Today, there is strong competition in the market, and therefore an adequate process of selecting suppliers, as one of the key activities in the supply chain management, can contribute to the company's overall business. In an empirical research that dealt with the selection of suppliers for a paper manufacturing company, it was necessary to select a supplier that would contribute to improving the environmental awareness of this company. The selection of suppliers in this paper is based on the application of the interval fuzzy logic and the group decision making model. Interval fuzzy logic was applied to the AHP and TOPSIS methods. The AHP method has determined the weights of the criteria, while TOPSIS method ranks the supplier based on the distance from an ideally positive and negative solution. Linguistic values were used to meet the criteria of supplier. Based on a practical example conducted on real suppliers, it has been established that supplier A6 shows the best results in relation to other suppliers. These results were confirmed by sensitivity analysis