An Analysis of Comparison on Weighted AHP for Improving Supplier Selection in IT Outsourcing

Due to the increase of competency and competitiveness, most organizations are adopting IT outsourcing (ITO) concepts and incorporating them into their main business strategy. ITO offers the benefits that includes cost reduction, improvement in staff ability as well as rapidly accessing and emplo...

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Bibliographic Details
Main Authors: Fusiripong, Prashaya, Baharom, Fauziah, Yusof, Yuhanis
Format: Conference or Workshop Item
Language:English
Published: 2018
Subjects:
Online Access:http://repo.uum.edu.my/25260/1/KMICE%202018%20388%20392.pdf
http://repo.uum.edu.my/25260/
http://www.kmice.cms.net.my/ProcKMICe/KMICe2018/toc.html
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Institution: Universiti Utara Malaysia
Language: English
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Summary:Due to the increase of competency and competitiveness, most organizations are adopting IT outsourcing (ITO) concepts and incorporating them into their main business strategy. ITO offers the benefits that includes cost reduction, improvement in staff ability as well as rapidly accessing and employing new technology. Thus, supplier selection has become a significant process in the organization.However, supplier selection is a complex decision making process which involves evaluation of more than one criterion. Each criterion carries a different weight which are usually defined by the experts. This paper presents the realization of Analytic Hierarchy Process (AHP) to define the priority weight in the supplier selection process. It is operationalized on three datasets which were obtained from the literature. Consequently, a reasonable priority weight vector was chosen to be used in the supplier selection of ITO projects.