A new DEA method for supplier selection in presence of both cardinal and ordinal data

The success of a supply chain is highly dependent on selection of best suppliers. These decisions are an important component of production and logistics management for many firms. Little attention is given in the literature to the simultaneous consideration of cardinal and ordinal data in supplier selection process. This paper proposes a new integrated data envelopment analysis (DEA) model which is able to identify most efficient supplier in presence of both cardinal and ordinal data. Then, utilizing this model, an innovative method for prioritizing suppliers by considering multiple criteria is proposed. As an advantage, our method identifies best supplier by solving only one mixed integer linear programming (MILP). Applicability of proposed method is indicated by using data set includes specifications of 18 suppliers.

► We study the problem of supplier selection when data of suppliers is not precise. ► We propose a new integrated DEA model for finding most efficient supplier with imprecise data. ► We propose a new DEA method for ranking suppliers based on cardinal and ordinal data. ► Application is shown and results are compared with previous method.