SOLVING SUSTAINABLE SUPPLIER SELECTION PROBLEMS BASED ON FUZZY AHP AND FUZZY TOPSIS FOR TEXTILE INDUSTRY
The textile industry is a significant contributor to Indonesia’s GDP, accounting for around 7.1% of the non-oil and gas industry GDP in 2019, though this declined to 5.8% in 2023. The industry encompasses three segments: upstream (fiber-making and spinning), midstream (weaving, knitting, printing...
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| Format: | Theses |
| Language: | Indonesia |
| Online Access: | https://digilib.itb.ac.id/gdl/view/84473 |
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| Institution: | Institut Teknologi Bandung |
| Language: | Indonesia |
| Summary: | The textile industry is a significant contributor to Indonesia’s GDP, accounting for
around 7.1% of the non-oil and gas industry GDP in 2019, though this declined to
5.8% in 2023. The industry encompasses three segments: upstream (fiber-making
and spinning), midstream (weaving, knitting, printing, and dyeing), and
downstream (garment production). The yarn spinning sector, which provides raw
materials for the midstream and downstream industries, is capital-intensive,
technologically advanced, and offers high added value but also faces high costs for
raw materials and energy (58.1% and 18.5% of operational costs, respectively).
Selecting the right suppliers can help lower raw material costs and optimize energy
use, enhancing overall cost-efficiency and market competitiveness.Traditionally,
supplier selection prioritized price and quality, but now it includes sustainable
practices addressing economic, environmental, and social factors, aligning with
Sustainable Development Goals from the United Nation. This shift, known as
Sustainable Supplier Selection (SSS), is crucial for maintaining competitiveness
and addressing climate change. SSS and the textile industry are prominent research
topics in Sustainable Supply Chain Management as multi-criteria decision-making
problems.
This thesis aimed to evaluate SSS criteria within the textile industry by employing
a combined Fuzzy Analytic Hierarchy Process and Fuzzy Technique for Order of
Preference by Similarity to Ideal Solution methodology. Additionally, an advanced
SWOT analysis was incorporated to provide strategic recommendations for
sustainable supplier management in Company X, one of Indonesia’s largest yarn
spinning companies. The findings offer a comprehensive understanding of SSS and
supply chain management within this context.
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