Embracing Sustainability in Green Supplier Evaluation: A Novel Integrated Multi-Criteria Decision-Making Framework

Abstract

Nowadays, industrial production is a critical issue for companies as public consciousness is rising because of environmental impacts. Like most other industries, the ready-made garment (RMG) industry faces immense pressure to be more competitive in this increasingly competitive market and proactively reduce waste and ecological footprint impacts. Besides, suppliers’ environmental performance and image have far more effect on a corporation’s environmental sustainability than the corporation’s internal environmental efforts. Moreover, there is a shortage of environmental consciousness in emerging economies; thus, green supply chain practices are lagging. Therefore, the green supplier evaluation criteria should be identified and focused on during sustainable procurement. This study analyses quantitative and qualitative factors and explores the relationship between green supplier preference principles using the combination of the Fuzzy Decision-Making Trial and Evaluation Laboratory (DEMATEL) method and the Fuzzy Technique for Order Performance by Similarity to Ideal Solution (TOPSIS). Initially, the supplier’s green performance was measured by identifying the criteria from relevant literature. After that, the Fuzzy DEMATEL technique measures the related criteria weights, and the Fuzzy TOPSIS method utilizes these criteria weights to rank suppliers among alternative suppliers. The findings will guide policymakers to improve supplier quality, increase profitability through improved brand recognition, and attract consumers who prioritize environmentally friendly products.