Multicriteria ABC Inventory Classification Using a Group Decision Making Method with Individual Preferences

Abstract

This paper proposes a group decision making model with individual preferences to investigate the multicriteria ABC inventory classification problem. We first propose a preliminary group decision matrix by means of identifying the individual preference among the classification criteria as a typical decision maker; then analyze the endogenous individual preference structure in terms of exploring the preferential difference and preferential priority, a revised group decision matrix is therefore presented; thirdly, make the use of SMAA-2 to derive the holistic acceptability index for classifying the SKUs. A satisfaction index is developed to manifest the merits of proposed method. A numerical illustration using the data drawn from previous studies is performed to indicate the applicability and feasibility of our method.