A key element in the success of a construction project is choosing the right contractor. The fact that numerous contractors are failing to complete projects for various reasons such as labor issues, financial difficulties, poor workmanship, social and political issues, inadequate safety measures at the job site, management shortcomings. gives the impression that the current method of contract awarding is ineffective in choosing the contractor who can best meet the demands and challenges. In this study, FUZZY TOPSIS approach can help to address these challenges and improve the quality of highway construction projects and the time it takes by selecting appropriate contractor in Amhara Region this was addressed by using MATLAB software. The methods utilized to create a mathematical model that may be used to rank competitive contractors and choose the best applicant are also explained in this study. Purposive sampling, a method of sampling, mixed type of surveys, and primary and secondary data sources were all employed in the pursuit of these goals. The researcher used interviews, questionnaires, and pilot studies to gather primary data. Document reviews were used to gather secondary data. It begins by examining their current practices, dissecting the traditional pre-qualification and financial evaluation methods used in the 2018 Debre Birhan project and Kunzila Junction Horticulture Farm Zege Town Road Projects. These involved verifying contractor experience, licenses, finances, and even offering discounts on bid prices. Next, the study expands its reach, drawing insights from over 37 existing selection criteria identified in literature and through questionnaires distributed to ERA professionals. Analyzing this data by using SPSS, it pinpoints the 8 most critical factors for selecting ideal contractors. Finally, the research was put these findings to the test through a case study, by taking the contractor which is selected in traditional method by a cutting-edge model called "Fuzzy TOPSIS". The selection of Contractor 1 (IFH Engineering Plc) in the second project with a tight timeframe highlights a possible shift. By considering factors beyond just price, like management ability, quality assurance, and project schedule, the ERA aims to identify a contractor with the capabilities to deliver the project successfully. This data driven approach, if implemented effectively, could lead to improved project outcomes in terms of timeliness, budget adherence, and overall quality. In its conclusion, the study aims to create a comprehensive framework for improved contractor selection, ensuring the ERA contractor with the best expertise and value for future projects. Keywords: Bidding procedure, Contractor selection, Fuzzy TOPSIS, Highway construction