The Possibility of Using Method of Multi-Criteria Optimization in Financial Allocation in the Defense System

Abstract

English Abstract:The research performed in this paper refers to the model that would be used to analyze the effects of the implementation of Planning, Programming, Budgeting and Execution Process (PPBE) on the budget of the Republic of Serbia defence system. The aim of this model is to overcome certain shortcomings of budgeting of the Ministry of Defence by using multicriteria optimization methods during allocation of financial resources to programmes, projects and activities. The purpose of the model is to facilitate the decision-making process, solving a certain problem – in this case the problem of optimal allocation of financial resources approved by the budget of the Ministry of Defence, with the best possible effects. It enables study, analysis and evaluation of certain situations which would otherwise be difficult or impossible to investigate. In a specifically defined environment, while recognizing international experiences in implementation of PPBE, the model is actually a methodology for solving the above mentioned problem. It may be defined as a process for creating a model of an actual system and conducting experiments, which enables understanding of the system behavior and/or evaluation of different strategies for system functioning.Serbian Abstract: Istraživanje sprovedeno u ovom radu odnosi se na model kako bio se izvrsila analiza efekata primene principa PPBI na budžet sistema odbrane Republike Srbije. Cilj ove analize je da prevaziđe određene nedostatke formiranja budžeta Ministarstva odbrane, koristeci metode visekriterijumske optimizacije prilikom raspodele finansijskih sredstava na programe, projekte i aktivnosti. Svrha modela je da pomogne u procesu donosenja odluka kojima se određeni problem resava – u ovom slucaju problem optimalne raspodele finansijskih sredstava odobrenih budžetom Ministarstva odbrane sa sto boljim efektima.Zahvaljujuci njoj moguce je proucavati, analizirati i evaluirati određene situacije koje bi bilo tesko ili se ne bi mogle ispitivati na drugi nacin. U konkretno definisanom okruženju, uz uvažavanje inostranih iskustava u primeni PPBI, model je zapravo metodologija za resavanje navedenog problema. Ona se može definisati kao proces kreiranja modela realnog sistema i izvođenja eksperimenata pomocu njega, koji omogucavaju razumevanje ponasanja sistema i/ili evaluaciju razlicitih strategija za funkcionisanje sistema.