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1 2015

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Evaluation and selection process of suppliers through analytical framework: an emprical evidence of evaluation tool

Imeri S., Shahzad K., Takala J., Liu Y, Sillanpää I., Ali T.

Management and Production Engineering Review

2015

Vol. 6, No. 3

10--20

The supplier selection process is very important to companies as selecting the right suppliers that fit companies strategy needs brings drastic savings. Therefore, this paper seeks to address the key area of supplies evaluation from the supplier review perspective. The purpose was to identify the most important criteria for suppliers’ evaluation and develop evaluation tool based on surveyed criteria. The research was conducted through structured questionnaire and the sample focused on small to medium sized companies (SMEs) in Greece. In total eighty companies participated in the survey answering the full questionnaire which consisted of questions whether these companies utilize some suppliers’ evaluation criteria and what criteria if any is applied. The main statistical instrument used in the study is Principal Component Analysis (PCA). Thus, the research has shown that the main criteria are: the attitude of the vendor towards the customer, supplier delivery time, product quality and price. Conclusions are made on the suitability and usefulness of suppliers’ evaluation criteria and in way they are applied in enterprises.