Vendor Selection Analysis using Analytical Hierarchy Process (AHP) Method in Engineering, Procurement and Construction (EPC) Business Pt. Rekadaya Elektrika


Authors : Yonatan Bagus Adi Putra; Antonius Setyadi

Volume/Issue : Volume 7 - 2022, Issue 7 - July

Google Scholar : https://bit.ly/3IIfn9N

Scribd : https://bit.ly/3vPQTI9

DOI : https://doi.org/10.5281/zenodo.6975797

Abstract : Vendors have an important role in Supply Chain Management which will have an impact on company performance. One of method that can be used in vendor selection is the Analytical Hierarchy Process (AHP) method. This research was conducted at the company PT Rekadaya Elektrika which is engaged in the national electric power EPC. The sample of this research wereall employees in the SCM Unit. The sampling technique used in this research is judgment sampling.Based on the results from thisresearch, it was found that the most influential criteria in the selection of transmission tower material fabrication vendors were the priority I is lead time (0.390), priority II is quality (0.246), priority III is price (0.169), priority IV is quantity(0.111) and priority V is service (0.084). From the results of the assessment of alternative priority levels, priority I is Vendor D (0.386), priority II is Vendor E (0.230), priority III is Vendor C (0.195), priority IV is Vendor B (0.105) and priority V is Vendor A (0.066).Based on the results of the analysis Vendor D is the vendor that has the highest overall value.

Keywords : Vendor Selection, Analytical Hierarchy Process (AHP), Supply Chain Management, software expert choice.

Vendors have an important role in Supply Chain Management which will have an impact on company performance. One of method that can be used in vendor selection is the Analytical Hierarchy Process (AHP) method. This research was conducted at the company PT Rekadaya Elektrika which is engaged in the national electric power EPC. The sample of this research wereall employees in the SCM Unit. The sampling technique used in this research is judgment sampling.Based on the results from thisresearch, it was found that the most influential criteria in the selection of transmission tower material fabrication vendors were the priority I is lead time (0.390), priority II is quality (0.246), priority III is price (0.169), priority IV is quantity(0.111) and priority V is service (0.084). From the results of the assessment of alternative priority levels, priority I is Vendor D (0.386), priority II is Vendor E (0.230), priority III is Vendor C (0.195), priority IV is Vendor B (0.105) and priority V is Vendor A (0.066).Based on the results of the analysis Vendor D is the vendor that has the highest overall value.

Keywords : Vendor Selection, Analytical Hierarchy Process (AHP), Supply Chain Management, software expert choice.

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