Correlation Test Application of Supplier’s Ranking Using TOPSIS and AHP-TOPSIS Method

Ika Yuniwati


The supplier selection process can be done using multi-criteria decision making (MCDM) methods in firms. There are many MCDM Methods, but firms must choose the method suitable with the firm condition. Company A has analyzed supplier’s ranking using TOPSIS method. TOPSIS method has a marjor weakness in its subjective weighting. This flaw is overcome using AHP method weighting having undergone a consistency test. In this study, the comparison of supplier’s ranking using TOPSIS and AHP-TOPSIS method used correlation test. The aim of this paper is to determine different result from two methods. Data in suppliers’ ranking is ordinal data, so this process used Spearman’s rank and Kendall’s tau b correlation. If most of the ranked scored are same, Kendall’s tau b correlation should be used. The other way, Spearman rank should be used. The result of this study is that most of the ranked scored are different, so the process used Spearman rank p-value of Spearman’s rank correlation of 0.505. It is greater than 0.05, means there is no statistically significant correlation between two methods. Furthermore, increment or decrement of supplier’s ranking in one method is not significantly related to the increment or decrement of supplier’s ranking in the second method


Supplier’s ranking; TOPSIS method; AHP-TOPSIS method; and correlation test

Full Text:



M. Jannah, M. Fakhry and Rahmawati, "Pengambilan Keputusan untuk Pemilihan Supplier Bahan Baku dengan Pendekatan Analytic Hierarchy Process di PT PAHALA Sidoarjo," Jurnal Agrointek, vol. 5, pp. 88-97, 2011.

P. W. Bhutia and R. Phipon, "Appication of ahp and topsis method for supplier selection problem," IOSR Journal of Engineering (IOSRJEN) Volume, vol. 2, pp. 43-50, 2012.

K. Shahroudi and H. Rouydel, "Using a multi-criteria decision making approach (ANP-TOPSIS) to evaluate suppliers in Iranâs auto industry," International Journal of Applied Operational Research-An Open Access Journal, vol. 2, no. 2, pp. 0-0, 2012.

C. Lavanpriya, V. M. Mauralidaran and C. Laksmanpriya, "A Case Study of Integrating The Taguchi Loss Function and TOPSIS Method to Select an Optimal Supplier in a Manufacturing Industry," Journal IFBM, vol. 1, pp. 18-22, 2013.

E. Onder and S. Dag, "Combining Analytical Hierarchy Process and Topsis approaches for supplier selection in a cable company," Journal of Business, Economics and Finance (JBEF), vol. 2, pp. 56-74, 2013.

E. S. Ginting, "Evaluasi Supplier Bahan Baku pada PT XYZ dengan Menggunakan Metode AHP dan Loss Function," pp. --, 2015. N. Bhatt, "An Integrated AHP-TOPSIS Approach in Supplier Selection: An Automotive Industry as a Case Study," The International Journal of Business & Management, vol. 3, no. 8, pp. 160--, 2015.

K. P. Yoon and C.-L. Hwang, Multiple attribute decision making: an introduction, vol. 104, Sage publications, 1995, pp. --.

G.-H. Tzeng and J.-J. Huang, Multiple attribute decision making: methods and applications, CRC press, 2011, pp. --.

N. Bhushan and K. Rai, Strategic decision making: applying the analytic hierarchy process, Springer Science & Business Media, 2007, pp. --.

T. L. Saaty, "Pengambilan keputusan bagi para pemimpin," Terjemahan). PT Pustaka Binaman Pressindo, Jakarta, pp. --, 1993.

T. L. Saaty, "The analytic hierarchy process: planning, priority setting, resources allocation," New York: McGraw, pp. --, 1980.

K. Mukherjee, "Analytic hierarchy process and technique for order preference by similarity to ideal solution: a bibliometric analysis âfromâpast, present and future of AHP and TOPSIS," International Journal of Intelligent Engineering Informatics, vol. 2, no. 2-3, pp. 96-117, 2014.

A. Karami, "Utilization and comparison of multi attribute decision making techniques to rank bayesian network options," pp. --, 2011.

S. Siegel, Statistic Nonparametric for Behavioral Sciences, McGraw-Hill Book Company, Inc, 1956.

T. Saaty, "Fundamental Decision Making and Priority Thinking with the AHP," pp. --, 1994.



  • There are currently no refbacks.

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

Editorial Office
Mathematics Department,
Universitas Islam Negeri Maulana Malik Ibrahim Malang
Jalan Gajayana 50 Malang, Jawa Timur, Indonesia 65144
Faximile (+62) 341 558933

Creative Commons License
Cauchy (ISSN: 2086-0382 / E-ISSN: 2477-3344) by is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.