THE RIGHT CRITERIA IN SELECTING THE SUPPLIER OF LOTTO FABRIC RAWMATERIAL IN CONVECTION INDUSTRY BY USING AHP AND TOPSIS METHODS

Abstract

Family Sport Clothing convection is Mr. Raharjo’s family business in textile industry
which produces training pants, made of lotto fabric. The company only has one
criterion in supplier selection process, and in this convection is the cost. In this
convection, problems that usually occur in selecting the supplier of raw materials are
the production process is delayed since the raw materials are not enough; the quality
of the raw materials does not meet the company standards; and supplier that does not
deliver on time. This study was conducted with the aim of identifying the criteria used
in selecting supplier and determining the ranking or the best supplier priority. The
researcher implemented AHP (Analytical Hierarchy Process) method by distributing
questionnaires to the owners of convection, and TOPSIS (Technique for Order
Preference by Similarity to Ideal Solution) by measuring the shortest distance between
positive ideal solutions and the longest distance with negative ideal solutions. The
criteria were adopted from previous researches, and processed by using Pareto
diagrams. Based on the results of calculations using Pareto diagram, the criteria used
in this study are quality, cost, service, delivery, feasibility, and capacity. Based on the
results of calculation using AHP method, the order of the most prioritized criteria is:
quality (0.37), cost (0.29), capacity (0.13), feasibility (0.12), delivery process, (0.07,) and
service (0.03). In addition, the priority order of the suppliers based on TOPSIS is:
Libeng Kiantana (0.45), Yudi Hartono (0.23), Abdul Ghofur (0.23), Panorama Shop
(0.06) and Indigenous Face Shop (0.02).