Presentation of Contractor Selection Model by Means of Combined DEMATEL and ANP Methods and Gray Relational Analysis by Safety Approach (A Case Study in Oil Industry)

Background and aims: In today’s business world, managers use outsourcing strategy as tool to establish competitive advantage and business capabilities in order to subcontract some activities and tasks to qualified contractors. Selecting the fittest contractor from qualified contractors can prevents waste of resource and keeps organizational resource. With regard to complexities, risks and conditions of oil industry, one of main criteria to select contractor in this industry is safety. In addition to such criteria as affordability, experience, specialized human resource, etc., the contractor should have acceptable health and safety executive (HSE) and appropriate performance. This study aims to determine contractor selection model by means of combined DEMATEL and ANP methods and grey relational analysis by safety approach. Methods: In this study we want to use combined DEMATEL and ANP methods and grey relational analysis approach in order to rank criteria and to select best contractor (case study in oil industry), while developing conceptual structure, we can minimize qualification and effect of assessor’s personal judgment in evaluation process and contractor selection. Results: The results of this study show that main safety indexes to select contractor in oil industry are safety history and investment in safety sections. Conclusion: This matter indicates (a) risks of this industry and (b) effect of safety education and effect of investment (in other sections) on performance of other sections and entire organization.