Research Of Key Product Supplier And Mass Product Supplier Evaluation And Selection For Automotive Industry

Automotive Industry has the characteristic of requirements of JIT (Just In Time)supply chain delivery, and with the complexity and diversity for the parts. Thepurchasing cost occupies more than65%of the total cost of the parts. Thus recently,reasonable evaluation and selection of suppliers as to build supplier chain special forcompanies, becomes more and more important for automotive companies.Meanwhile, there are a variety of methods for the supplier evaluation and selectionaccordingly. However, most of the methods are evaluation for the whole supplierchain, not sufficient for the diversity if the supplier types. The evaluation ranges is notcomprehensive and not focus on corresponding supplier characteristics. Causedunreasonable decision for the supplier chain construction.According to the program background and target of company F, we subdividedtypes of suppliers, and selected the most important two types of suppliers: key productsupplier and mass product supplier. It’s key, high added value, and limited selectionfor the product that supplied by the key product supplier. Linear Programmingmethod could solve similar problem with the limited resources of man power, materialand financial property. Mass product suppliers have a wide range of quantity, scaleand quality. Analytic Hierarchy Process (AHP) method could solve multi-criteriaproblem with the combination of quantitative and qualitative. In this article, the authorapplies the Linear Programming method in the evaluation and selection for the keyproduct suppliers and AHP method for the mass product suppliers’ selection andevaluation. Thus provided us an effective mathematical model for evaluation of themulti-factor and multi-vendor suppliers. And have achieved the target for the actual evaluation and application of the company.