An application of the AHP in vendor selection of a telecommunications system

Vendor selection of a telecommunications system is an important problem to a telecommunications company as the telecommunications system is a long-term investment for the company and the success of telecommunications services is directly affected by the vendor selection decision. Furthermore, the vendor selection of a telecommunications system is a complex multi-person, multi-criteria decision problem. The group decision-making process can be improved by a systematic and logical approach to assess priorities based on the inputs of several people from different functional areas within the company. The analytic hierarchy process (AHP) can be very useful in involving several decision-makers with different conflicting objectives to arrive at a consensus decision. In this paper, an AHP-based model is formulated and applied to a real case study to examine its feasibility in selecting a vendor for a telecommunications system. The use of the proposed model indicates that it can be applied to improve the group decision making in selecting a vendor that satisfies customer specifications. Also, it is found that the decision process is systematic and that using the proposed AHP model can reduce the time taken to select a vendor.

[1]  Jonathan Burton,et al.  Application of Analytical Hierarchy Process in Operations Management , 1990 .

[2]  Scott T. Young,et al.  Hospital Materials Management: Systems and Performance , 1989 .

[3]  Patrick T. Harker,et al.  The Analytic hierarchy process : applications and studies , 1989 .

[4]  Benjamin W. Lin,et al.  Selection of automated office systems: a case study , 1981 .

[5]  R. Hill,et al.  Using the Analytic Hierarchy Process to Structure the Supplier Selection Procedure , 1992 .

[6]  A. Arbel,et al.  An application of the AHP to bank strategic planning: The mergers and acquisitions process , 1990 .

[7]  T. Saaty Axiomatic foundation of the analytic hierarchy process , 1986 .

[8]  J. F. Bard,et al.  Evaluating space station applications of automation and robotics , 1986, IEEE Transactions on Engineering Management.

[9]  T. Saaty,et al.  The Analytic Hierarchy Process , 1985 .

[10]  Matthew J. Liberatore,et al.  An extension of the analytic hierarchy process for industrial R&D project selection and resource allocation , 1987, IEEE Transactions on Engineering Management.

[11]  R. Narasimhan An Analytical Approach to Supplier Selection , 1983 .

[12]  Ami Arbel,et al.  Capacity planning, benchmarking and evaluation of small computer systems , 1985 .

[13]  Moshe Zviran,et al.  A comprehensive methodology for computer family selection , 1993, J. Syst. Softw..

[14]  Matthew J. Liberatore A Decision Support Approach for R&D Project Selection , 1989 .

[15]  Matthew J. Liberatore,et al.  The Evaluation of Research Papers (Or How to Get an Academic Committee to Agree on Something) , 1992 .

[16]  Abraham Seidmann,et al.  Selecting a microcomputer for process control and data acquisition , 1984 .

[17]  Gary W. Dickson,et al.  AN ANALYSIS OF VENDOR SELECTION SYSTEMS AND DECISIONS , 1966 .