Identifying Determinants of Supplier Selection in the Heavy Automotive Industry: Strategic Insights and Future Directions

Abstract

Supplier selection criteria in the heavy automotive industry, remain an underexplored area in supply chain management research. This study bridges this gap by systematically identifying, validating and prioritising key supplier selection criteria for this specialised sector. A comprehensive literature review was conducted to extract (12) key criteria, supported by systematic justification and quantitative aggregation from ten selected studies. These criteria were subsequently refined using the Analytic Hierarchy Process - Online System (AHP-OS), involving eight (8) industry professionals, including senior procurement managers and engineers. The resulting group consistency ratio of 2.2% confirmed the logical coherence of expert evaluations. A Spearman rank correlation test (r = 0.294) further revealed a low to moderate alignment between literature-based and expert rankings, highlighting areas of convergence and divergence. The findings demonstrated strong consensus between literature and expert insights on the importance of Quality, Cost, and Delivery Performance. However, notable differences were observed, particularly in the prioritisation of Technological Capability and Risk, reflecting evolving industry demands. This study presents an updated, validated supplier selection framework tailored to the heavy automotive sector and offers practical insights for improving supplier evaluation practices. Future research is recommended to expand expert participation, integrate dynamic supplier monitoring elements, and explore hybrid multi-criteria decision-making (MCDM) approaches for enhanced robustness.