VENDOR SELECTION PROCESS FOR PIPE PRODUCTS USING MULTI CRITERIA DECISION MAKING METHOD IN PT. ABD

Abstract

PT. ABD, a geothermal company, is located in Bandung. PT. ABD has to maintain the good performance of pipe products which used to drain the heat from geothermal resource to generator for generating the electricity. To purchase the pipe products, the company has Procurement division for conducting vendor selection. The current procurement system does not have a specific method, the company just conduct the vendor selection subjectively. The vendor selection needs to be objective to make the maintenance process can be done quickly and the possibility of accidents can be reduced. That's why a good vendor selection should be consider about the quality, cost, and delivery of the pipe products that the vendor offer to the company. This research is conducted for selecting the vendor objectively by using Multi Criteria Decision Making method. Based on the calculation and analysis, PT. D is the selected vendor for pipe products with 8.20 of final score.