UNIVERSITY OF REGINA
FACULTY OF ENGINEERING
WISE
LAB
Process of Supplier Selection for
New Product Development
Diego A. Carrera
Dr. Rene V. Mayorga
2003
Fuzzy Inference System
The system was constructed in three macro groups:
1. One connected with all the information concerned with the firm, to obtain
the strategic option which meet the project characteristics.
2. The other related to the making decision problem showing the actual
performance of the suppliers.
3. The third one analyzes the project details and supplier offers.
First Group – Supplier Characteristics
INPUTS
Technological Level:
refers to plants, equipments and machinery
available.
Economical Situation:
evaluation of economic-financial risk
factors.
Production Capacity:
is the evaluation of the provider potential to
produce the part at the required volume.
Market Share:
refers to the market share at the moment of
the project development.
OUTPUT
Strategic Option.
First Group – Fuzzy System Characteristics
Type
Mamdani
Number of Inputs
4
Number of Outputs
1
Number of Rules
22
Defuzzification
Method
mom
First Group – Inputs
First Group – Output
Strategic Option
First Group – Rules
Second Group – Supplier Performance
INPUTS
Quality Level:
it refers to the consistency of the supplier to
deliver high-quality products.
Delivery Rate:
evaluate if the products arrive on time, to
the correct location, in the proper quantity
and with the correct information.
Cost Reduction:
evaluate the cost reduction objectives
accomplishment.
OUTPUT
Supplier Performance.
Second Group – Fuzzy System Characteristics
Type
Mamdani
Number of Inputs
3
Number of Outputs
1
Number of Rules
35
Defuzzification
Method
mom
Second Group – Inputs
Second Group – Output
Performance
Second Group – Rules
Third Group – Supplier Quotation
INPUTS
Part Quotation:
refers to the price quoted by the supplier.
Investment Cost:
it is the initial investment the firm has to
incur if it decides to go on with the project.
Project Time:
is the evaluation of the time needed since
the purchase order placement until the first
part is produced.
OUTPUT
Percentage of provision.
Third Group – Fuzzy System Characteristics
Type
Mamdani
Number of Inputs
3
Number of Outputs
1
Number of Rules
11
Defuzzification
Method
mom
Third Group – Inputs
Third Group – Output
Percentage of Provision
Third Group – Rules
Fuzzy Inference System
Characteristics
INPUTS
OUTPUTS
Technological Level
Economical Situation
Strategic Option
Production Capacity
Characteristics
Performance
Market Share
Quality Level
Delivery Rate
Supplier Performance
Cost Reduction
Part Quotation
Investment Cost
Project Time
Percentage of Provision
Final Decision
Final Decision
INPUTS
 Strategic Option.
 Percentage of Provision.
 Performance.
OUTPUT
Final Decision.
Final Decision – Fuzzy System Characteristics
Type
Mamdani
Number of Inputs
3
Number of Outputs
1
Number of Rules
16
Defuzzification
Method
mom
Final Decision – Inputs
Final Decision – Output
Final Decision – Rules
Interface
Thanks !