Nowadays, many companies have decided to use other companies’ competencies and outsource part of their manufacturing and business processes to suppliers from abroad in order to reduce costs, improve quality of products, and offer better services to customers. On the other hand, this decision has faced organizations with new challenges. Organizations need to evaluate their supplier’s performance, and consider their weakness and strength to survive in high competitive markets.

In addition, cloud manufacturing, as a powerful tool will likely enable small and medium sized enterprises (SMES) to move towards using dynamic scalability and ‘free’ available data resources in a virtual manner and to provide solution-based, value-added, digital-driven manufacturing service over the Internet. The research presented in this paper aims to develop a supplier selection framework in the context of cloud manufacturing. The paper will present the background and concept of supplier selection following by proposed framework which consisted of four modules, multi-criteria module, bidding module, optimization module, and learning module. Finally, web based supplier selection approach will be briefly presented as it is not the main aim of this paper.

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