A TOPSIS-based framework for construction projects’ portfolio selection in the public sector

Abstract

PurposeThis paper proposes selecting a construction project portfolio in the context of a public institution, which makes it possible to assess quantitative and qualitative criteria, thereby meeting the needs of the institution and the existing constraints.Design/methodology/approachThe research design follows a framework using technique for order preference by similarity to ideal solution (TOPSIS) associated with integer linear programming.FindingsThe method involves a flow of assessments allowing criteria and weights to be elicited where outcomes are based on the experts' intra-criteria assessment of alternatives and decision-makers' inter-criteria assessment. This is of utmost interest to public organizations, where selections must result in benefits and lower costs, integrating the experts' technical and management perspectives.Social implicationsPublic institutions are characterized by having limited financial and personnel resources for project development despite having a high demand for requests not associated with profits, making it essential to have a framework that enables using multiple criteria to better evaluate the benefits related to these decisions.Originality/valueThe main contributions of this article are: (1) the proposition of a framework for selecting construction project portfolios considering the organization's strategic needs; (2) identifying quantitative and qualitative assessment criteria for project selection; (3) integrating TOPSIS with an optimization process for selecting the construction project portfolios and (4) providing a structured decision process for selecting the portfolio that best represents the interests of the institution within its limited resources and personnel.