Selection of Supplier Using Analytical Hierarchy Process Creating Value Added in the Supply Chain Agribusiness

Abstract

The concept of Supply Chain Management (SCM) has significant potential for added value which can be utilized with the concepts of innovative economy. One of the added value in SCM is the supplier selection process. This research is model in SCM Agribusiness supplier selection using Analytical Hierarchy Process (AHP). The criteria used in this model is the price, past performance, delivery time, professionalism, quality, locations, responsive, and guarantee. The value of criteria entered by suppliers assessed with weights determined by the agro-industrial company by using AHP. Based on experiments with the value of each supplier, then processed using the AHP generated ranking of suppliers. The first ranking generated is the first option to supply the raw material in which the supplier register