Evaluation of AHP software from a management accounting perspective

Abstract

Purpose – Due to the increasing complexity of decision environments, suitable multi-criteria methods are gaining importance for the decision support function in management accounting. The analytic hierarchy process (AHP), a well-known and established OR method for solving complex decision settings, is accompanied by the ongoing development of suitable software solutions. Especially for practical issues, software support can reduce barriers to applying AHP and can enhance acceptance by managers. For this reason, five heterogeneous software products are evaluated from a management accounting perspective. The paper aims to discuss these issues. Design/methodology/approach – Based on the increasing relevance of AHP and the major changes in the field of AHP software solutions, the study of Ossadnik and Lange was replicated, with modifications. Five leading software products that use AHP were selected and evaluated with regard to their quality for solving decision problems. Pairwise comparisons were generated and integrated into an AHP-based decision model. The relevant criteria contained in this model were developed from the international standard norm for software evaluation. Findings – In addition to revealing the necessity for further research on the development of appropriate software for multi-criteria decision problems, the result also shows that, under certain assumptions, “ Make It Rational” is the preferred software product. Practical implications – Originating from different demands, the evaluation reveals the strengths and weaknesses of various software solutions for practical purposes. Originality/value – This study shows that characteristics of software products using AHP vary, enabling users to select an appropriate software solution.