Technique for Order Preference by VIKOR Based on Entropy Weight for Supplier Selection

摘要

In view of the growing concerns about supplier selection, based on the analysis of the existing methods, a decision method for supplier selection combined with both the advantage of entropy weight and VIKOR (the Serbian name, VlseKriterijumska Optimizacija I Kompromisno Resenje, means Muti-criteria Optimization and Compromise Solution) is proposed. Because entropy weight is adopted in the method, the subjectivity in ascertaining factors' weights can be a-voided and the objectivity of the results is enhanced. Taking five factors, quality, price, technique, service, and management as evaluation criteria, information entropy evaluation is used to determine the weight for the evaluation criteria of alternatives, and VIKOR is used to determine the final order preference of alternatives. A numerical example is given to illustrate the validity of the proposed method.