OPTIMIZING SUPPLIER SELECTION IN MULTI JAYA ABAD BUILDING STORE USING AHP

Abstract

This study explores the application of the Analytical Hierarchy Process (AHP) method within a Decision Support System (DSS) for supplier selection in Multi Jaya Abad Building Store. Efficient supplier selection is a crucial factor in ensuring the smooth operation and profitability of a building store. The AHP method is employed to assist the store in addressing these challenges by identifying key criteria relevant to supplier selection, such as price, product quality, product range, delivery reliability, and customer service. The research involves the development of a decision matrix incorporating these criteria, the establishment of pairwise comparisons to determine their relative importance, and the utilization of AHP to calculate the overall priority weights for each supplier. The results demonstrate that AHP significantly enhances the store's decision-making process, providing a structured approach to selecting suppliers based on a comprehensive evaluation of multiple criteria. The study contributes valuable insights into the practical application of AHP as an effective tool in supplier selection processes for building supply stores, promoting informed decision-making and ultimately improving operational efficiency and customer satisfaction.