Selection of The Best Soybean Supplier for Tempe Balap MSME using The Analytical Hierarchy Process (AHP) Method

Abstract

Tempe Balap MSME is a tempe production business that is highly dependent on the availability of soybean raw materials. Frequent problems include late deliveries and uncertainty about the availability of soybean stocks from suppliers, which can disrupt the smooth production process. Furthermore, supplier selection has been based on experience without using a systematic method. Therefore, a decision-making method is needed to determine the best supplier. This study aims to determine the best soybean supplier for Tempe Balap MSME using the AHP method. The criteria used in this study include price, quality, delivery, supplier capability, service, and flexibility with several supporting sub-criteria. Data collection was conducted through interviews and questionnaires with MSME owners. Based on the results of the AHP calculation, it was found that the delivery criterion had the highest weight of 0.394, followed by supplier capability at 0.267, quality at 0.140, price at 0.092, service at 0.064, and flexibility at 0.042. The overall alternative weight calculation results show that supplier I has the highest value of 0.390, followed by supplier U at 0.294 and supplier C at 0.214. Thus, supplier I is the best choice as a soybean supplier for Tempe Balap MSMEs because it is considered the most capable of meeting needs in terms of price, quality, delivery, ability to maintain stock availability, service, and flexibility in placing orders.