Supplier selection is a multiple criteria decision making (MCDM) problem which is affected by several conventional conflicting factors such as quality, delivery, service and time. Recently government insists enterprises to take care of environmental regulation and social issues such as discrimination, abuse of human rights, child labor, long working hours and unfair competition during supplier development. Major Corporations started to allocate funds to address major Corporate Social Responsible (CSR) issues as an image building process and become accountable for any of its actions that affect people, their communities and their environment. Therefore the major corporations expect their partners to be aware and take care of environmental and CSR issues. Several researchers attempted to integrate environmental issues in a conventional supplier selection problem. To the best of our knowledge no attempts have been made in considering CSR issues for supplier selection in context of developing countries. An attempt is made in this paper to develop a procedure which exclusively addresses CSR and social issues other than conventional factors to select a suitable supplier.
Key Words: Multi Criteria Decision Making (MCDM); Analytic Hierarchy Process (AHP); Regression Analysis; Supplier Selection; Social issue, environmental issue
[...] CRI_UFC = criteria un fair competition ; PRO = procedures ; BRI =bribery ; ADV = advertising ; Con = confidential ; VIO = violations ; MIS = misconduct ;DISC = disciplinary Pollution Procedure for management of waste water, including monitoring, characterization, treatment, and discharge and/or recycling, procedures for management of solid wastes (e.g., office waste, trash), including collection, separation, disposal and/or recycling, procedure for obtaining environmental permits and managing competence with the permit requirements, recovery of discarded products components or materials at the end of their useful life product, program aimed at inventorying, reducing and reporting the emissions of global warming gases from your operations. [...]
[...] Increasingly the manufacturers and suppliers are realizing that importance has to be given to Corporate Social Responsibility (CSR) along with environmental issues. CSR means that a corporation should be held accountable for any of its actions that effect people, their communities and their environment (John 2006). CSR is the obligation of the firm to use its resources in ways to benefit society, through committed participation as a member of society at large independent of direct gains of the company. Giliberti (2008) found that companies use different strategies as well as diverse management systems and tools to address CSR issues along their supply chains and analyzes the practices adopted and difficulties experienced by Small and Medium-sized Enterprises (SMEs) to transfer socially responsible behaviors to suppliers that operate in developing countries. [...]
[...] 5.Conclusion: Our study contributes to supplier selection criteria with social and environmental issues. Both conventional criteria like quality, cost, delivery, service and social, environmental criteria like discrimination, human rights, child labour, long working hours, Un fair competition and pollution were also taken in to account for selecting the best supplier. In developing countries C.S.R criteria were not considered for supplier selection so for, hence the authors made an attempt to include those issues in vendor selection and made an exclusive study in medium scale automotive accessories manufacturing industry. [...]
[...] Maintaining the long term relationship and social benefits the following questionnaire shown in table 2 was designed and given to the suppliers. To achieve the paper goal survey was conducted in multiple case studies. The general description of the questionnaire and its purpose were presented to the companies first with a letter of introduction, then with a presentation by phone call. For each company the survey was conducted by face to face interviews with the person that was better informed on the companies CSR practices. [...]
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