The Context of Global Sourcing Supplier Evaluation and Selection

In the context of global sourcing, because of complicated and volatile economic international environment, the problem of supplier evaluation and selection is going to be very difficult. In this paper the critical success factors and the negative aspects are considered in the buyer-supplier relationship. An integrated approach of analytic network process (ANP) is proposed to consider in choosing the best suppliers. Analytic network process (ANP) model, which incorporates the benefits, opportunities, costs and risks (BOCR) concept, is constructed to evaluate various aspects of suppliers. Multiple factors that are positively or negatively affecting the success of the relationship are analyzed, and a performance ranking of the suppliers is obtained. A case study of backlight unit supplier selection for a manufacturer is presented, and the proposed model is applied to facilitate the decision process. The model is a general form that can be tailored and applied by firms that are making decisions on supplier selection.