As companies are becoming more global nowadays and disruptions in the supply chain has become more rampant, companies try to manage their supply chain by means of strategies to improve the resilience of the supply chain. Supply portfolio is one of the strategies that can mitigate the supply disruptions. In making a supply portfolio, selecting and evaluating suppliers is one crucial step. In this paper, we propose an integrated framework that uses simple multi-attribute rating technique to determine the utility of each alternative under various scenarios and adopt utility theory to incorporate the risk taking behaviour in choosing the appropriate supplier. Through this, decision-makers can evaluate their supplier options and select right suppliers that will give them a maximum utility.
As companies are becoming more global nowadays and disruptions in the supply chain has become more rampant, companies try to manage their supply chain by means of strategies to improve the resilience of the supply chain. Supply portfolio is one of the strategies that can mitigate the supply disruptions. In making a supply portfolio, selecting and evaluating suppliers is one crucial step. In this paper, we propose an integrated framework that uses simple multi-attribute rating technique to determine the utility of each alternative under various scenarios and adopt utility theory to incorporate the risk taking behaviour in choosing the appropriate supplier. Through this, decision-makers can evaluate their supplier options and select right suppliers that will give them a maximum utility.