Multicriteria Decision Making

Abstract

AbstractWhile the first chapter of this book dealt with single-objective optimization, we expand the view in this chapter so as to allow multiple concerns to be included by one or multiple decision makers. For now, we will use fuzzy terms such as “concerns” until we will formalize the terminology. It is apparent that multiple decision makers will have multiple views, but even a single decision maker may, and usually does, have more than a single concern. For instance, when purchasing a vehicle, the buyer will not only look at the price, but other features as well, such as resale value, gas mileage, comfort, horsepower, etc. Similarly, in the corporate context, while profitability is most likely the be the overriding concern in the short run, long-term viability is an important consideration that, at least in the retail context, could potentially be quantified by using customer satisfaction as a proxy measure.