Group Decision Support System Using AHP, Topsis and Borda Methods for Loan Determination in Cooperatives

Abstract

Cooperatives are one of the business units which purpose is to help the economy of small and medium-sized communities. One of the cooperatives in the city of Padang, West Sumatra, Indonesia is KPN Kapur Warna. The routine business unit managed by KPN Kapur Warna is for savings and loans. So far, the savings and loan process is still done manually, including determining the eligibility of members to receive loans. Determination of the eligibility of members is carried out less objectively, by only looking at the profile of participants in general and the decision-making process is only carried out by one person, namely the chairman of the cooperative. The process that has been carried out so far has often resulted in wrong targets, namely providing loans to members who are not appropriate, resulting in bad credit or delays in paying monthly installments of participants. Therefore, we need a group decision support system that can help solve the above problems. In this study, a group decision support system was made using the AHP, TOPSIS and BORDA methods using five main criteria. The AHP method is used to determine the priority value for each criterion and the TOPSIS method is used to rank each alternative. Each decision maker performs the same process with the two methods, and then voting is carried out using the BORDA method of combining assessments for different decision makers. This study succeeded in providing a reference in determining the eligibility of which members are entitled to receive loans from cooperatives, with results that are more subjective and can help cooperatives in their work efficiently.