IMPROVED GREY CORRELATIVE METHOD FOR SUPPLIER SELECTION

Supplier selection is a key phase in supply chain management. The system of evaluation indices for supplier selection was put forward based on coal group Corporation Ltd. At the same time, the multi-level improved grey synthetic evaluation model was constructed. The subjectivity which lies in ascertaining factors' weights in lower hierarchy was avoided in this model. So the evaluation result is more objective than other evaluation methods. The evaluation model was applied in supplier selection in Ping Dingshan coal group Corporation Ltd. The order preference of suppliers is attained. The best supplier and better suppliers are ascertained for the enterprise. The evaluation result indicates that this method is more reasonable and easier to grasp than other methods. Moreover, it is easier to implement this evaluation method in enterprises.