Transforming Indonesia’s Cocoa Industry: Achieving Sustainability through Strategic Supplier Selection with AHP

DOI

10.2991/978-94-6463-817-2_111How to use a DOI?

Keywords

Analytical Hierarchy Process; Sustainable Supplier Selection; Sustainable Supply Chain Strategy; Cocoa Industry

Abstract

The rapid advancement of technology in the globalization era has made sustainability a vital aspect of business operations. A sustainable supply chain is crucial for long-term corporate performance, environmental well-being, and societal health. Sustainable supply chain strategies integrate environmental, social, and economic considerations, enhancing business performance through cost reduction, increased efficiency, and fostering innovation. Indonesia’s cocoa industry, a significant export commodity, faces sustainability challenges such as environmental degradation, social inequality, and economic vulnerability. Addressing these challenges requires a robust sustainable supply chain strategy, including meticulous supplier selection. Due to the multidimensional nature of sustainability, the Analytical Hierarchy Process (AHP) offers a systematic and effective method for evaluating suppliers. AHP enables companies to consider various criteria—environmental impact, social responsibility, and economic performance—leading to more informed decisions that enhance supply chain sustainability. This study applied AHP to the Indonesian cocoa industry for sustainable supplier selection. It emphasized selecting suppliers who adhered to sustainable practices, thus strengthening the supply chain’s integrity. By prioritizing suppliers employing environmentally friendly farming methods, providing fair wages, and supporting community development, companies can significantly reduce their ecological footprint and promote social equity. The findings showed that AHP is a valuable tool in implementing sustainable supply chain strategies, improving performance and sustainability in the Indonesian cocoa industry.

Copyright

© 2025 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Asni Mustika Rani
AU  - Agus Rahayu
AU  - Puspo Dewi Dirgantari
AU  - Lili Adi Wibowo
AU  - Mokh Adib Sultan
AU  - Umari Abdurrahim Abi Anwar
PY  - 2025
DA  - 2025/09/12
TI  - Transforming Indonesia’s Cocoa Industry: Achieving Sustainability through Strategic Supplier Selection with AHP
BT  - Proceedings of the 9th Global Conference on Business, Management and Entrepreneurship (GCBME 2024)
PB  - Atlantis Press
SP  - 946
EP  - 951
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-817-2_111
DO  - 10.2991/978-94-6463-817-2_111
ID  - Rani2025
ER  -