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Illustrative Example of Scaling Criteria Values

5 Illustrative Example of Scaling Criteria Values Example 6.5 Scaling Criteria Values [Pg.318]

Consider a supplier selection problem with 3 suppliers A, B, C and three selection criteria—Total Ownership Cost (TCO), Service, and Experience. [Pg.318]

The criteria values are given in Table 6.19. TCO has to be minimized, while the Service and Experience criteria have to be maximized. [Pg.318]

Note that the high cost supplier (A) gives the best service and has the most experience, while supplier C has the lowest cost and experience and gives poor service. The criteria values are not scaled properly, particularly cost measured in dollars. If the values are not scaled TCO criterion will dominate the selection process irrespective of its assigned [Pg.319]

Consider a supplier selection problem with three suppliers—A, B, and C, and three selection criteria— total cost of ownership (TCO), service, and experience. The criteria values are given in Table 2.3. TCO has to be minimized, while the service and experience criteria have to be maximized. [Pg.24]


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