A Fuzzy Group Decision-making-based Method for Green Supplier Selection and Order Allocation

With the intensity of market competitiveness, the worsening of the global environment, and the improvement of public concern about environmental protection, the issue of green purchasing has received considerable attention. The vast majority of existing studies on green purchasing have concentrated on supplier selection with green criteria, so as to realize sustainable operations, whereas it is more feasible and economical for businesses to obtain the proper products from adaptable and suitable suppliers at the right times, rates, and volumes, which is referred to as supplier selection and order allocation. To resolve the aforementioned two crucial challenges, we propose a group decision-making method within an ambiguous context. A fuzzy ranking approach based on the technique for order of preference by similarity to ideal solution and analytic hierarchy process (TOPSIS-AHP) is addressed. The proposed solution enables each of the green and classical criteria to be given a flexible preference under the organization's strategy. Supplier ranks are utilized in a bi-objective optimization model to allocate orders, where the procurement performance is maximized while the entire procurement cost is minimized. The findings show that the proposed method is capable of assessing the performance of providers and optimizing the distribution of orders among candidate suppliers.