Method And Criteria For Selecting Raw Material Suppliers At Steel Enterprises In Vietnam

In the steel industry, the study of supplier selection methods is pivotal for setting up enduring competitive edges. Careful selection based on multi-objective analysis ensures sustained access to premium raw materials, optimizing operations and maintaining market leadership in the long term. The article investigates the criteria used by enterprises in Vietnam for selecting suppliers of steel raw materials. Through a combination of surveys, interviews, and Multi-Objective Decision Making (MODM) techniques, the study concludes that Vietnamese steel enterprises prioritize six main criteria: product quality (specifically focusing on impurity ratio), price, supplier capacity, payment term, delivery time, and customer service. Employing the Analytic Hierarchy Process (AHP) methodology to validate these criteria enables enterprises to engage confidently and effectively with their suppliers. This article contributes standards and methods for selecting the most suitable raw material suppliers for steel manufacturers. It is an in-depth investigation into the procurement process within steel manufacturing enterprises.