A supplier selection model in pharmaceutical supply chain using PCA, Z-TOPSIS and MILP: A case study

Abstract

Supplier selection is one of the critical processes in supplier chain management which is associated with the flow of goods and services from the supplier of raw material to the final consumer. The purpose of this paper is to present a novel approach and improves the supplier selection in a multi-item/multi-supplier environment, and provide the importance and the reliability of the criteria by handling vagueness and imperfection of information in decision making process. First, principal component analysis (PCA) method is used to reduce the number of supplier selection criteria in pharmaceutical companies. Next, using the most important criteria resulted from the PCA method, the importance and the reliability of the selected criteria are assessed by a group of decision-maker (DM). Then, the importance value of each supplier with respect to each product is obtained via the Technique for Order Performance by Similarity to Ideal Solution (TOPSIS) based on the concept of Z-numbers called Z-TOPSIS. Finally, these values are used as inputs in a mixed integer linear programming (MILP) to determine the suppliers and the amount of the products provided from the related suppliers. To validate the proposed methodology, an application is performed in a pharmaceutical company. The results show that the proposed method could provide promising results in decision making process more appropriately.

A hybrid approach using entropy and TOPSIS to select key drivers for a successful and sustainable lean construction implementation

“…The method is based on defining both positive and negative ideal solutions and subsequently ranking their feasibility according to the furthest distance from the negative ideal solution and the shortest distance from the positive ideal solution. TOPSIS also presents an index called closeness to the positive-ideal solution and remoteness from the negative-ideal solution, in which the alternative with the highest similarity to the positive-ideal solution should be chosen [34,132]. Today, many researchers in the field of construction have to use TOPSIS for ranking the factors.…”

Evaluation of Iranian Chemical Industries

“…Therefore, the wide range of factors and sub-alternatives taken into account and prioritized to make the decision-making process applicable and discernible. Forghani, et al [19] determined the priority among 4 suppliers of the pharmaceutical chain via TOPSIS equations considering some factors such as product quality, its price, and past record documentation, etc.…”

“…, Healthy Soap(19), Helmet(20), High pressure hoses(21), Household Lighting Candles(22), Insecticide coil(23), Isolator(24), Kitchen lighter(25), Knife with injectable handle (26), Adhesive plaster (27), Lining materials and insulating gas pipes (28), Liquid fertilizer (29), Matches (30), Mechanical disposable lighters (31), Medicinal glycerin (32), Melamine dishes (33), Metal flexible hose pipes (34), Nitrobenzene (35), Potassium chloride (36), Printing ink (37), Rubber parts (38), Shoe wax (39), Soft polyurethane foam (40), Starch from wheat (41), Throwaway crockery (42), Tooth brush (43), Detergents (Shampoo, etc) (44), Welding glasses (45), Insecticide spray containing flavoring materials (46), Acetic acid ester (47), Phthalic anodic esters (48), Calcium stearates (49), Boric acid (50), Hydrochloric acid (51), Chromic acid (52), Zinc oxide (53), Oxygen; Ar and N2 (54), Alcohol from beet molasses (55), Types of gaskets (56), Acid and distilled water (57), Rubber plugs (58), Sprinkler (59), Sodium hypochlorite (60), Recycling silver from film and its solution (61), Industrial Paraffin (62), Raw silk fabrics (63), Pacifier (64), Unsaturated polyester (65), Bleach powder (66), Electrostatic coating (67), Tri-calcium phosphate (68), Hub and rubber ball (69), Synthetic leather of polyurethane (70), Gum stick (71), Wood gum (polyvinyl acetate) (72), Shoe adhesive (73), Medical and sanitary adhesives (74), Toothpastes and health cosmetics (75), Hexagon pen (76), Pen (77), Plugs and screws head (78), Diethyl ether (79), CO2 (80), Epoxy resin (81), Alkyd resin (82), Bakelite…”

An Effective Approach to Input Variable Selection for Preliminary Cost Estimation of Construction Projects

“…e results demonstrate that multicollinearity exists among most of the input variables as there is a relatively strong positive and negative relationship between them. e existence of multicollinearity will not only cause repeatability errors and trade-offs but also makes it difficult to assess the individual importance of an input variable or predictor [16,17,64].…”