- Problem Evaluation
There are 5000 tank trucks operated around Indonesia, this tank truck are bought in each region or area. We have a new strategy to buy it centrally because it would be cheaper if we buy more and it would easier in procurement processing and after sales service guarantee. So to do this strategy we have to choose one tank truck builder.
- Development of feasible alternatives
There are three tank truck builders in our vendor list as a candidate to run this plan:
- PT Meco Inoxprima (Meco)
- PT Aweco Indosteel Perkasa (Aweco)
- PT Patria Focal (Patria)
- Development the outcome for each alternative
To choose the best tank truck builder I am using Non-Compensatory Method. This method can be implemented for select the best alternative with certain attribute that are independent and the one attribute cannot predict any of the others. Four Non-compensatory methods will be analyzed:
- Disjunctive resolution
Each model is prepared to decide on the best alternative.
- Selection of criteria
There are four attribute to compare in each method to get best alternative:
- Product Price
- Product Endurance
- Pant Location
- After sales service
We will choose alternative in the highest rank of all method to get the best one.
- Analysis and comparison of the alternative
Each alternative are compared with four attribute are show below:
5.1 Dominance Method
We compare all alternatives each other based on four attributes
Table 1. Dominance Result
5.2 Satisficing Method
Based on minimum to maximum range acceptable value there is no unacceptable alternative because they come from vendor list. All vendor list have been selected before.
Table 2. Satisficing Result
5.3 Disjunctive Reasoning Method
We compare all attribute each other based on important value to determine what is the most important attribute. Price and Plant location have same important score, but based on pair wise comparison price more important so it put in the higher rank.
Table 3. Disjunctive Reasoning Result
5.4 Lexicography Method
Based on attribute rank ordering all alternative compare each other.
Table 4. Lexicography Result
- Alternative selection
All the methods show Meco is dominating over other alternative, so we will run the plan with Meco as tank truck builder.
- Performance monitoring & Post Evaluation Result
Each method is showing possible alternative with different ways and maybe different result. If there is no dominant alternative among all method, we can choose the optimum one or do the next level comparison method like Compensatory Method.
- Planning Planet. (2017). Multi-Attribute Decision Making. Retrieved from http://www.planningplanet.com/guild/gpccar/managing-change-the-owners-perspective Figures 8-14
- Sullivan, G. W., Wicks, M. E., & Koelling, C. P.(2014). Engineering economy 16th Edition. Chapter 14 – Decision Making Considering Multiattributes., pp.559-608.
- Norris, G. A., & Marshall, H. E. (1995). Multiattribute decision analysis method for evaluating buildings and building systems. National Institute of Standards and Technology.