Handbook on Multi-Attribute Decision-Making Methods

Clear and effective instruction on MADM methods for students, researchers, and practitioners.
 
A Handbook on Multi-Attribute Decision-Making Methods describes multi-attribute decision-making (MADM) methods and provides step-by-step guidelines for applying them. The authors describe the most important MADM methods and provide an assessment of their performance in solving problems across disciplines. After offering an overview of decision-making and its fundamental concepts, this book covers 20 leading MADM methods and contains an appendix on weight assignment methods. Chapters are arranged with optimal learning in mind, so you can easily engage with the content found in each chapter. Dedicated readers may go through the entire book to gain a deep understanding of MADM methods and their theoretical foundation, and others may choose to review only specific chapters. Each standalone chapter contains a brief description of prerequisite materials, methods, and mathematical concepts needed to cover its content, so you will not face any difficulty understanding single chapters. Each chapter:
* Describes, step-by-step, a specific MADM method, or in some cases a family of methods
* Contains a thorough literature review for each MADM method, supported with numerous examples of the method's implementation in various fields
* Provides a detailed yet concise description of each method's theoretical foundation
* Maps each method's philosophical basis to its corresponding mathematical framework
* Demonstrates how to implement each MADM method to real-world problems in a variety of disciplines
 
In MADM methods, stakeholders' objectives are expressible through a set of often conflicting criteria, making this family of decision-making approaches relevant to a wide range of situations. A Handbook on Multi-Attribute Decision-Making Methods compiles and explains the most important methodologies in a clear and systematic manner, perfect for students and professionals whose work involves operations research and decision making.

List of contents

Preface xiii
 
1 An Overview of the Art of Decision-making 1
 
1.1 Introduction 1
 
1.2 Classification of MADM Methods 5
 
1.2.1 Preference Evaluation Mechanism 5
 
1.2.2 Attributes' Interactions 7
 
1.2.3 The Mathematical Nature of Attributes' Values 8
 
1.2.3.1 Deterministic Vs. Nondeterministic 8
 
1.2.3.2 Fuzzy Vs. Crisp 8
 
1.2.4 Number of Involved Decision-makers 8
 
1.3 Brief Chronicle of MADM Methods 9
 
1.4 Conclusion 10
 
References 12
 
2 Simple Weighting Methods: Weighted Sum and Weighted Product Methods 17
 
2.1 Introduction 17
 
2.2 The Weighted Sum Method 20
 
2.2.1 Step 1: Defining the Decision-making Problem 20
 
2.2.2 Step 2: Normalizing the Elements of the Decision-matrix 21
 
2.2.3 Step 3: Aggregating the Preference of Alternatives 21
 
2.3 The Weighted Product Method 21
 
2.4 Conclusion 22
 
References 22
 
3 Analytic Hierarchy Process (AHP) 25
 
3.1 Introduction 25
 
3.2 The Hierarchical Structure 27
 
3.3 The Pairwise Comparison 30
 
3.4 Inconsistency 33
 
3.5 Quadruple Axioms of the AHP 35
 
3.6 Stepwise Description of the AHP Method 36
 
3.6.1 Step 1: Defining the Decision-making Problem 36
 
3.6.2 Step 2: Performing the Pairwise Comparison Through the Hierarchical Structure 37
 
3.6.3 Step 3: Estimating the Preference Value Vectors 37
 
3.6.4 Step 4: Synthesizing and Computing the Overall Preference Value of Alternatives 38
 
3.6.5 Step 5: Evaluating the Results' Rationality and Selecting the Best Alternative 38
 
3.7 Conclusion 39
 
References 39
 
4 Analytic Network Process (ANP) 43
 
4.1 Introduction 43
 
4.2 Network Vs. Hierarchy Structure 45
 
4.3 Stepwise Instruction to the ANP Method 48
 
4.3.1 Step 1: Defining the Decision-making Problem 48
 
4.3.2 Step 2: Conducting a Pairwise Comparison of the Elements of the Decision-making Problem 49
 
4.3.3 Step 3: Forming the Supermatrix 52
 
4.3.4 Step 4: Computing the Weighted Supermatrix 53
 
4.3.5 Step 5: Computing the Global Priority Vectors and Choosing the Most Suitable Alternative 53
 
4.4 Conclusion 54
 
References 54
 
5 The Best-Worst Method (BWM) 59
 
5.1 Introduction 59
 
5.2 Basic Principles of the BWM 62
 
5.3 Stepwise Description of the BWM 63
 
5.3.1 Step 1: Defining the Decision-Making Problem 64
 
5.3.2 Step 2: Determining the Reference Criteria 64
 
5.3.3 Step 3: Pairwise Comparisons 64
 
5.3.4 Step 4: Computing the Optimal Weights 65
 
5.3.5 Step 5: Measuring the Inconsistency of Decision-Makers Judgments 66
 
5.4 Conclusion 67
 
References 67
 
6 TOPSIS 71
 
6.1 Introduction 71
 
6.2 Stepwise Description of the TOPSIS Method 72
 
6.2.1 Step 1: Establishing the Formation of the Decision-making Problem 73
 
6.2.2 Step 2: Normalizing the Element of the Decision-matrix 73
 
6.2.3 Step 3: Computing theWeighted Normalized Preference Values 74
 
6.2.4 Step 4: Defining the Reference Alternatives 74
 
6.2.5 Step 5: Calculation of the Separation Measure 75
 
6.2.6 Step 6: Computing the Relative Closeness to the Ideal Solution 76
 
6.2.7 Step 7: Ranking the Alternatives 76
 
6.3 A Common Misinterpretation of TOPSIS Results 76
 
6.4 Conclusion 77
 
References 78
 
7 VIKOR 81
 
7.1 Introduction 81
 
7.2 Stepwise Description of the VIKOR Method 84
 

About the author

OMID BOZORG-HADDAD, PhD, is Professor in the Department of Irrigation & Reclamation Engineering at University of Tehran, Iran.
BABAK ZOLGHADR-ASLI, M.Sc., received the M.Sc. in Irrigation Engineering, Water Resources Management, from Tehran University, Iran. HUGO A. LOÁICIGA, PhD, is Professor of Geography in the Department of Geography at the University of California, Santa Barbara, USA.

Summary

Clear and effective instruction on MADM methods for students, researchers, and practitioners.

A Handbook on Multi-Attribute Decision-Making Methods describes multi-attribute decision-making (MADM) methods and provides step-by-step guidelines for applying them. The authors describe the most important MADM methods and provide an assessment of their performance in solving problems across disciplines. After offering an overview of decision-making and its fundamental concepts, this book covers 20 leading MADM methods and contains an appendix on weight assignment methods. Chapters are arranged with optimal learning in mind, so you can easily engage with the content found in each chapter. Dedicated readers may go through the entire book to gain a deep understanding of MADM methods and their theoretical foundation, and others may choose to review only specific chapters. Each standalone chapter contains a brief description of prerequisite materials, methods, and mathematical concepts needed to cover its content, so you will not face any difficulty understanding single chapters. Each chapter:
* Describes, step-by-step, a specific MADM method, or in some cases a family of methods
* Contains a thorough literature review for each MADM method, supported with numerous examples of the method's implementation in various fields
* Provides a detailed yet concise description of each method's theoretical foundation
* Maps each method's philosophical basis to its corresponding mathematical framework
* Demonstrates how to implement each MADM method to real-world problems in a variety of disciplines

In MADM methods, stakeholders' objectives are expressible through a set of often conflicting criteria, making this family of decision-making approaches relevant to a wide range of situations. A Handbook on Multi-Attribute Decision-Making Methods compiles and explains the most important methodologies in a clear and systematic manner, perfect for students and professionals whose work involves operations research and decision making.

Product details

• Authors: O Bozorg-Haddad, Omi Bozorg-Haddad, Omid Bozorg-Haddad, Omid Zolghadr-Asli Bozorg-Haddad, Hugo A. Lo?iciga, Hugo A. Lo¿iciga, Hugo A. Loaiciga, Loáiciga, Hugo A. Loáiciga, Loiciga, Baba Zolghadr-Asli, Babak Zolghadr-Asli, Babak Bozorg-Haddad Zolghadr-Asli
• Publisher: Wiley, John and Sons Ltd
• Languages: English
• Product format: Hardback
• Released: 30.04.2021
• EAN: 9781119563495
• ISBN: 978-1-119-56349-5
• No. of pages: 192
• Series: Wiley Series in Operations Research and Management Science
• Subjects: Natural sciences, medicine, IT, technology > Mathematics; Social sciences, law, business > Business > Management; Statistik, Betriebswirtschaft, Entscheidungsfindung, Statistics, Business & management, Wirtschaft u. Management, Statistik in den Ingenieurwissenschaften, Engineering Statistics, Betriebswirtschaft u. Operationsforschung, Management Science/Operational Research, Theorie der Entscheidungsfindung, Decision Sciences