Abstract

This research proposes an integrated data envelopment analysis (DEA) and analytic hierarchy process (AHP) approach to obtain attribute weights in a grey relational analysis (GRA) method. First, this can be implemented by developing a DEA-based GRA model to obtain attribute weights for the alternative under assessment. Second, weight bounds, using AHP, can be incorporated in the DEA-based GRA model to reflect the priority weights of attributes. Third, the effects of incorporating weight bounds on attribute weights can be analyzed by developing a parametric distance model. Increasing the value of a parameter in a domain of grey relational loss, i.e., a reduction in grey relational grade, we explore the tradeoff relationship between the grey relational grade and the priority weights of attributes for each alternative. This may result in various ranking positions for each alternative in comparison with the other alternatives. An illustrated example of selecting dispatching rules is also presented to highlight the usefulness of the proposed approach.

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