Abstract:
Supplier selection played a role in developing industry performance. It was
one of the critical issues in supply chain management. KUD Dau Batu was
one industry that needed managing operations and raw material purchase.
The raw material needed, fresh milk, was a perishable product with a short
lifetime. This study illustrated applying a decision-making procedure for
supplier selection on KUD Dau Batu by ANP and fuzzy TOPSIS. Four
suppliers (Princi, Gading Kulon, Petung Sewu, and Kucur) thought
qualified for procuring milk. The first step determined the weight of criteria
and sub-criteria that impacted strategic supplier selection by ANP. The
result showed that supplier selection is influenced by several factors: raw
material cost, shipping cost, guarantee, responsiveness, lead time, delivery
time, financial health, and ability to identify needs. This approach in a KUD
Dau Batu showed that cost was the top priority. The next step was to
defuzzification of criteria and rank the four suppliers by fuzzy TOPSIS. The
supplier from Kucur was the best milk supplier compared to another
supplier. The proper supplier selection could contribute to decreasing cost
production and improving industrial performance.