Cost criterion versus price criterion in multi-criteria decision-making for supplier selection

The article aims to present a method developed by the authors to enhance the likelihood of selecting the optimal delivery option. Delivery costs can often constitute the largest component of manufacturing expenses for many companies, making optimization in this area particularly critical. Multiple criteria decision-making in supplier selection offers a solution. However, to make accurate assessments based on these criteria, it is essential to define them beforehand. Even the best multi-criteria analysis method will fail if the data used is inadequate, emphasizing the importance of selecting appropriate criteria. The author focuses on price and transport costs, proposing that these two individually assessed criteria be combined into a single cost criterion encompassing both price and delivery costs. This approach eliminates errors associated with determining the weight of each verifier when treated as separate criteria.

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Publication Details

Journal
SHILAP Revista de lepidopterología
Published
2025-12-01
DOI
https://doi.org/10.19192/wsfip.sj4.2025.1
Primary Topic
Multi-Criteria Decision Making
Type
article
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article

Cost criterion versus price criterion in multi-criteria decision-making for supplier selection

Marcin Musialek
SHILAP Revista de lepidopterología
Multi-Criteria Decision Making
article

Cost criterion versus price criterion in multi-criteria decision-making for supplier selection

Marcin Musialek
article en

Abstract

The article aims to present a method developed by the authors to enhance the likelihood of selecting the optimal delivery option. Delivery costs can often constitute the largest component of manufacturing expenses for many companies, making optimization in this area particularly critical. Multiple criteria decision-making in supplier selection offers a solution. However, to make accurate assessments based on these criteria, it is essential to define them beforehand. Even the best multi-criteria analysis method will fail if the data used is inadequate, emphasizing the importance of selecting appropriate criteria. The author focuses on price and transport costs, proposing that these two individually assessed criteria be combined into a single cost criterion encompassing both price and delivery costs. This approach eliminates errors associated with determining the weight of each verifier when treated as separate criteria.

SHILAP Revista de lepidopterología
Peace, Justice and strong institutions
Openalex Percentile: Top 24%
Multi-Criteria Decision Making
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Cost criterion versus price criterion in multi-criteria decision-making for supplier selection — Marcin Musialek · SHILAP Revista de lepidopterología (2025) | TGRS Research Map | TGRS