Efficient team formation from pool of talent: comparing AHP-LP and TOPSIS-LP approach

Abstract

PurposeThis research focuses on suggesting an optimized model for selecting best employees using advanced multi-criteria decision making method to a supply chain firm, who is planning to start a new cold chain business vertical.Design/methodology/approachStudy has been conducted in a supply chain firm in North India, who wants to expand its business with the help of efficient team members. In total 38 applicants were considered for the study, as selected by the firm after initial screening from pool of talent. AHP-LP and TOPSIS-LP integrated approach were applied separately for evaluation and implementation of personnel selection model. Further, both the approaches were compared to find the best fit and optimized model.FindingsAs per the findings, both AHP and TOPSIS can be used to select the best candidate among the alternatives available. TOPSIS was found easier to implement as it involves ranking of applicants with respect to each skills required for respective job profile only once, whereas AHP involves pair-wise comparison among candidates with respect to each skills required for respective job profile and normalization of each comparison, resulting in the formation of number of comparison matrices. However, AHP is more reliable as it considers consistency check for each level of pair-wise comparison. Hence, there is a chance to avoid or revise the human judgment error. Integrated ranking and optimization approach minimizes the cost by suggesting the relevant positions to be filed to make an efficient team.Research limitations/implicationsGroup of interviewers are involved in the decision-making process, hence there are chances of biasness in ranking method which can influence the group decision. Research is limited to a particular geography of North India therefore needs to be tested for other regions also in order to generalize. The research will help the third party logistics (3PL) and other related firms in efficient team selection.Originality/valueThe researcher focuses on formalizing a method for potential candidate selection by considering the constraints of the organization. It has been observed that limited researches have been done on the application of AHP-LP or TOPSIS-LP integrated approach for selection process. Hence, this research proposes two integrated ranking-optimization method and suggests the best fit by comparing both the approaches.