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A Study on the Selection of ERP Supplier for SMEs Using FAHP and EWCM

Author: ZhangHao
Tutor: WangLin
School: Huazhong University of Science and Technology
Course: Management Science and Engineering
Keywords: ERP Small and medium-sized enterprise Supplier selection Fuzzy AHP Entropy-weight coefficient method
CLC: F270.7
Type: Master's thesis
Year: 2012
Downloads: 9
Quote: 0
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Abstract


As the competitive environment became increasingly fierce, small and medium-sized enterprises (SMEs) is facing more and more pressure to survive. Gradually, more and more enterprises have brought in ERP systems to standardize their operation and management, effectively reduce production costs and improve the overall competitiveness. However, due to the high complexity of ERP implementation, the probability of successful implementation of ERP systems in Chinese enterprises is not high. One of the main problems is a reasonable supplier selection. This thesis is devoted to the study on the selection of an ERP system for SMEs.Firstly, the international and domestic researches on the selection of ERP supplier are particularly discussed which pave the way for the construction of the methods in this study. Secondly, the particularity of the implementation for SMEs is discussed which include the problems and the risks. Then, the evaluation index set for supplier selection of ERP system that is suitable for SMEs in accordance with the actual situation of SME are proposed. Fourthly, FAHP method was used to solve the relative weights of the various factors. Then, risk weights of each factor are determined by entropy-based approach. We also re-integrate two weights and eventually adopt the gray theory to evaluate the level of the suppliers. At last, the real case of DM Fishery Science and Technology Co., Ltd. was adopted to validate the effectiveness of the proposed method. This study will help the enterprises learn more about the ERP system supplier selection process. At the same time, the ERP supplier evaluation index set and comprehensive evaluation method provides a reference for similar SMEs.

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CLC: > Economic > Economic planning and management > Enterprise economy > Economic theory and methods > Management of modern enterprises
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