Economic Evaluation of Digital Suppliers for Manufacturing SMEs Using Pythagorean Neutrosophic TOPSIS and VIKOR with a Flexible Distance Metric
Year: 2025
Type: article
Abstract: Selecting digital suppliers is not only a technological issue but also a fundamental economic decision for manufacturing SMEs pursuing digital transformation. Supplier choice directly affects cost efficiency, resource allocation, and long-term competitiveness. This study develops a quantitative multi-criteria decision-making (MCDM) framework that integrates Pythagorean Neutrosophic TOPSIS (PNTOPSIS) and VIKOR (PNVIKOR), strengthened by a novel distance measure, the Flexible Indeterminacy Quantifier (FIQ). The framework explicitly addresses incomplete and uncertain evaluations that complicate procurement under financial and operational constraints. A real-world case with five digital suppliers is analyzed across criteria including system capability, vendor support, total cost, and risk of disruption. The findings highlight the supplier that delivers the highest economic value by aligning affordability with operational reliability. FIQ improves score differentiation and ranking stability, enabling SMEs to make more economically rational choices. Sensitivity analysis confirms that the model produces consistent outcomes under varying budgetary assumptions, demonstrating its robustness for strategic procurement. Overall, this research provides SMEs with an uncertainty-aware, cost-sensitive tool that reduces financial risks, enhances transparency in supplier selection, and supports sustainable economic performance within digitally transforming industrial ecosystems.
Authors: Mohammad Syafiq Mohammad Kamari, Zahari Md Rodzi, Zaifilla Farrina Zainuddin, Nor Hanimah Kamis, Noraini Ahmad, Samsiah Abdul Razak, Faisal Al-Sharqi
Language: English
Field: Decision Sciences
Domain: Social Sciences
Open Access status: diamond
Award: G854476752
OpenAlex ID: W4414465219