Study On Supplier Selection Of New Agricultural Machinery Products For A Company

With the improvement of agricultural mechanization and the modification ofpreferential famer policies, Agricultural machinery industry is faced with a broadmarket prospects for development. And the ability to innovate has become corecompetence for a company. In the process of Supply Chain Integration, productinnovation is being involved in many corporations, manufacturer and suppliers,instead of manufacturer. In the perspective of manufacturer, the participation ofsuppliers is significant for the success of new product project. And the supplierselection is becoming one of the key issues.This paper took agricultural manufacturer A for example, analyzing some factorsthat influence suppliers’ election process, like industry development status,agricultural machinery parts’ specialty, suppliers’ participation model, and thedifference of evaluation systems in different phases, established an integrated supplierselection process. One of the most important parts, sheet metal part, was chosen, andits supply chain specialty and supply and demand status was analyzed. Then, suppliers’participating phase was being determined, and the suppliers were assessed fordifferent indexes in three different phases.The first stage was to investigate some basic information about a supplier, whichwas called input ability investigation. The process was implemented by two ways,questionnaire survey and on-site survey. The recommended evaluation method wasscoring and giving every index weight, and then the total scores were summed. Thesecond stage was to evaluate the suppliers’ output ability. The specific evaluationindex system was established and AHP (Analytic Hierarchy Process) was used tocalculate the process. The last stage was to assess suppliers’ performance in a longterm. Three indexes, quality, price and delivery status were took consideration. Forexample, PPM was used to evaluate one supplier’s quality control ability.