Technical Papers
Feb 1, 2017

Hierarchical Supplier Selection Optimization with Multiple Items in Large-Scale Construction Projects

Publication: Journal of Infrastructure Systems
Volume 23, Issue 3

Abstract

Managers of modern large-scale construction projects are under pressure to meet higher customer expectations with tighter budgets. Although they deal with numerous issues in the purchasing and manufacturing processes, selecting effective and efficient material suppliers is among the most critical one. This selection is often very challenging when lacking precise information. Moreover, the construction contractor and the suppliers often have conflicting interests and make decisions individually. As research concerning the aforementioned issues is still relatively scarce, this paper proposes a multiobjective bilevel programming model with random fuzzy coefficients for supplier selection problem with multiple items (SSP-MI) in a large-scale construction project. The upper level problem deals with the construction contractor who selects suppliers to minimize total cost, maximize service, and item quality. The lower level problem deals with the suppliers who allocate supplied items to maximize their own total profit. For solving this complex bilevel nonlinear model with uncertainties an expected value operator method is first used to deal with the uncertain variables, and then Karush-Kuhn-Tucker (KKT) conditions and a combinatorial algorithm with a sectional genetic algorithm with fuzzy logic controller (flc-SGA) and a weighted-sum method (WSM) based on satisfactory degree (SD) denoted as flc-SGA with SD-based WSM are proposed. Finally, the proposed approach is demonstrated to be effective when carried out in the Pubugou Hydropower construction project.

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Acknowledgments

This research was supported by the Key Program of NSFC (Grant No. 70831005), 985 Program of Sichuan University “Innovative Research Base for Economic Development and Management,” the National Natural Science Foundation of China (Grant No. 71401093), the National Natural Science Foundation of China (Grant No. 71501149), the Fundamental Research Funds for the Central Universities (WUT: 2016VI002) and the Fundamental Research Funds for the Central Universities (Grant No. 14SZYB08). The authors would like to give their appreciation to the editors and anonymous referees for their helpful and constructive comments and suggestions, which have helped to improve this paper.

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Go to Journal of Infrastructure Systems
Journal of Infrastructure Systems
Volume 23Issue 3September 2017

History

Received: Jan 28, 2016
Accepted: Oct 21, 2016
Published ahead of print: Feb 1, 2017
Published online: Feb 2, 2017
Discussion open until: Jul 2, 2017
Published in print: Sep 1, 2017

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Authors

Affiliations

Yan Tu, Aff.M.ASCE
Lecturer, School of Management, Wuhan Univ. of Technology, Wuhan 430070, China.
Xiaoyang Zhou
Associate Professor, International Business School, Shaanxi Normal Univ., Xi’an 710062, China.
Jun Gang
Sichuan Institute of Building Research, Chengdu 610081, China.
Jiuping Xu, M.ASCE [email protected]
Professor, State Key Laboratory of Hydraulics and Mountain River Engineering, Sichuan Univ., Chengdu 610064, P.R. China; Uncertainty Decision-Making Laboratory, Sichuan Univ., Chengdu 610064, China (corresponding author). E-mail: [email protected]
Wenjing Shen
Assistant Professor, Decision Sciences Dept., LeBow College of Business, Drexel Univ., Philadelphia, PA 19104.
Benjamin Lev
Professor, Decision Sciences Dept., LeBow College of Business, Drexel Univ., Philadelphia, PA 19104.

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