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Supply Chain Risk Management, Second Edition by David L. Olson

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CHAPTER 4

Supply Chain Selection Decisions

There are many decisions required in supply chain management to balance risk and return. Supply chain management decisions include which sources to work with, which products to offer to customers, and which transportation modes to adopt in specific circumstances. Decisions are also needed for selecting the type of information technology to acquire, whether hiring a consultant is appropriate, the specific vendor from whom software is purchased, and the specific form of software to adopt. I will first cover some basics in structuring hierarchies of criteria and then describe the simple multiattribute rating technique for multicriteria selection decisions. I will then demonstrate with two example decisions: ...

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