Multicriteria Decision Aid Research Articles

Implementation of the new easy approach to fuzzy multi-criteria decision aid in the field of management

Decision-making is one of the most important management functions and a critical task for managers. The tools that support decision makers in making decisions are Multi-criteria Decision Making/Aid/Analysis (MCDM/MCDA) methods. Since most decisions are made under conditions of uncertainty, the fuzzy MCDM/MCDA methods are particularly important as they allow capturing the uncertainty and imprecision of the information used in making decisions. This method is the Fuzzy Preference Ranking Organization Method for Enrichment Evaluation (Fuzzy PROMETHEE), and its extension in the form of New Easy Approach to Fuzzy PROMETHEE (NEAT F-PROMETHEE). However, the unavailability of software using the NEAT F-PROMETHEE method significantly reduces its ease of use and may discourage potential users and researchers considering using it in their studies. Therefore, to facilitate the use of this MCDA method, the article presents the implementation of NEAT F-PROMETHEE in the MATLAB environment. Moreover, the verification of the developed implementation and its application in the management decision-making problem is presented, together with the analysis of the operation of the mapping correction function used in NEAT F-PROMETHEE. The results obtained with NEAT F-PROMETHEE were compared with the results of the Fuzzy PROMETHEE method which did not apply correction. The analysis shows that the correction applied in NEAT F-PROMETHEE allows obtaining results with a smaller error than the non-corrected implementations of PROMETHEE Fuzzy. Therefore, a more accurate solution of the decision problem is obtained.•improving the process of mapping fuzzy numbers in the Fuzzy PROMETHEE method•implementing a correction mechanism while mapping trapezoidal fuzzy numbers

Introducing Sentiment Analysis of Textual Reviews in a Multi-Criteria Decision Aid System

Nowadays, most decision processes rely not only on the preferences of the decision maker but also on the public opinions about the possible alternatives. The user preferences have been heavily taken into account in the multi-criteria decision making field. On the other hand, sentiment analysis is the field of natural language processing devoted to the development of systems that are capable of analysing reviews to obtain their polarity. However, there have not been many works up to now that integrate the results of this process with the analysis of the alternatives in a decision support system. SentiRank is a novel system that takes into account both the preferences of the decision maker and the public online reviews about the alternatives to be ranked. A new mechanism to integrate both aspects into the ranking process is proposed in this paper. The sentiments of the reviews with respect to different aspects are added to the decision support system as a set of additional criteria, and the ELECTRE methodology is used to rank the alternatives. The system has been implemented and tested with a restaurant data set. The experimental results confirm the appeal of adding the sentiment information from the reviews to the ranking process.

Environmental, social and corporate governance framework for corporate disclosure: a multicriteria dimension analysis approach

PurposeThe purpose of this paper is to provide to the Board of Directors and CEOs of a firm to be aware of and accountable for the information they provide to the public. As long as the quality of the companies’ public information is high, it will be able to retain its investors as well as to obtain new ones more easily.Design/methodology/approachThis paper introduces a Multi-Criteria Decision Aid (MCDA) tool with the use of the PROMETHEE II method to formulate an alternative aggregate ESG quality approach. We conduct comparisons in a sectorial and regional based perspective during different exam periods before and after the implementation of International Financial Reporting Standards (IFRS), in an attempt to provide a robust framework for corporate disclosure reporting.FindingsThe findings are of particular interest to both scholars and decision-makers, including providers of corporate governance indices and rating agencies. The innovation of this paper lies among others in using the MCDA method with the ESG framework, which proposes a combination of qualitative and quantitative criteria, enabling experienced and/or not experienced analysts to avoid manipulating techniques in business information.Research limitations/implicationsThe sample of companies based on the US and Europe companies incorporating only large-sized ones.Practical implicationsFindings are of particular interest to both scholars and decision-makers including providers of corporate governance indices and rating agencies.Social implicationsBetter understanding features pay key importance for increasing the “quality” information in firms financial statements, especially after the use of IFRS in reporting standards.Originality/valueThe authors proceed to analysis using a multiple perspective use that is decomposed into the following options: (a) Time-period oriented option, (b) Regional-oriented option and (c) Sectoral-oriented option respectively.

BiOR2: when pest risk assessment meets computer-based multicriteria analysis for plant pest ranking and management

Globalisation of trade in plants is a high-risk pathway that initiated many plant pest invasions. Models for ranking invasive pests are thus important to risk managers since they help them quickly adapt management strategies. Therefore, the Biological Organisms data Retrieval and Ranking system (BiOR2) process was developed and enabled high-throughput data acquisition connected to a risk assessment model. Its main characteristics are being objective, generic and based on sound science, namely pest risk analysis and multicriteria decision aid. The probability of entry, establishment and spread as well as the likely economic and environmental impacts were estimated separately through 24 independent criteria for which score calculation was precisely described. Moreover, data storing and processing in BiOR2 enable its further use for answering several risk-related questions. The behaviour of BiOR2 was explored regarding sensitivity as well as other features such as the ‘fit for purpose’ approach through an adaptable weighting system. The management of missing data and the expression of uncertainty in BiOR2 were also described. Moreover, BiOR2 was compared to previous models and expert statements in order to evaluate the modifications and deviations it generates with respect to these approaches respectively. The contribution to policy recommendations such as pest prioritisation was also investigated. In 2016, 278 pests have been assessed with BiOR2 for France and 110 pests for French Overseas Departments, which highlights its applicability to several geographic areas. Lastly, the fulfilment of suggested good practices by BiOR2 in the field of prioritisation studies was also verified.

A special issue on multi-criteria decision aiding

A special issue on multi-criteria decision aiding

Heritage Evaluation: restoration plan through HBIM and MCDA

This study is prompted by the activity carried out within a EU funded project (WARMEST)[1] whose goal is to analyze monuments’ degradation due to factors such as climate change and growing number of tourists, create a model to describe and anticipate the phenomena, and put in place a user-friendly Decision Support System that will help in setting preventive maintenance plans. As part of the project, we had the chance to study in depth the degradation at the Patio de Los Leones, the core of the world-famous site of the Alhambra and Generalife, which attracts to Granada in Spain where they are located over 2 million tourists per year. The paper aims to define a new methodology to assess the level of urgency to restore the 124 columns of the Patio de Los Leones (Alhambra). It is not easy to identify all the factors affecting the columns’ deterioration and to establish which should be restored first. Our approach is to collect all the data regarding the decay factor and use multi criteria decision aid methods such us the Analytic Hierarchy Process in order to create a hierarchy among all columns according to their decay. We also will create an HBIM model of the Patio del Los Leones in order to optimize the management and maintenance of the columns. HBIM model can also optimize the data management and enable to compare results (in this case data about columns decay) over time.

Assessing global systemically important banks and implications for entrepreneurship: a hierarchy stochastic multicriteria acceptability analysis

PurposeThe financial crisis of 2007–2008 has brought critical attention to those financial institutions whose high destabilizing effects can have an impact on the financial system. Basel Committee (BIS) has introduced a set of regulations to identify such banks, defined global systemically important banks (G-SIBs). The purpose of this paper is to investigate the robustness of the BIS's methodology.Design/methodology/approachIn this study, a multicriteria decision aid (MCDA) approach is considered, specifically HSMAA (hierarchy stochastic multiobjective acceptability analysis), which can take into account uncertainty on BIS's criteria weights as standard SMAA, but also uncertainty with respect to the subcriteria of the considered criteria. The results are analyzed to provide insights into the robustness of the BIS's methodology.FindingsThe obtained results indicate that overall the BIS's methodology does not appear robust. Within the two uncertainty scenarios considered, the results show a great variability in identifying the G-SIBs' systemic risk.Originality/valueThe paper proposes an analytical way to assess the robustness of the BIS's methodology. Moreover, the authors’ analysis reveals a great variability on the results, which highlight different issues for banks, regulators and enterprises.

How to Assess Reverse Logistics of e-Waste Considering a Multicriteria Perspective? A Model Proposition

As e-waste exponentially increases on a global scale, some legislation and plans to implement reverse logistics have arisen in some countries. While reverse logistics is already well consolidated in developed countries, it is still in a state of infancy in developing countries. In this article, we propose a theoretical model to assess reverse logistics, based on a multicriteria decision aid perspective. This was done while considering a context in which the implementation of the reverse logistics of e-waste is at the beginning. To show the main characteristics of the literature and obtain the model’s inputs, we conducted a systematic literature review to help us understand the main criteria and methods used for this purpose. Then, we illustrated the use of the proposed model with a numerical example. This paper contributes to the current body of research, and aims to assist practitioners within the field of reverse logistics by systematizing the knowledge related to this issue, and offering a model that can guide the decision-making. This model differentiates from others already published because it uses the probabilistic composition of preferences (PCP) method, which does not require the assignment of weights. The model can also be used while considering the preferences of several decision-makers, therefore covering several points of view and providing a more holistic view of the decision problem.

Comparison by Correlation Metric the TOPSIS and ELECTRE II Multi-Criteria Decision Aid Methods: Application to the Environmental Preservation in the European Union Countries

Comparison by Correlation Metric the TOPSIS and ELECTRE II Multi-Criteria Decision Aid Methods: Application to the Environmental Preservation in the European Union Countries

Profiling analysts and actors in interaction: how behavioural aspects can positively affect the decision aid process

The behaviour of the actors in a decision aid process is determined by different factors, all of which have an impact on the effectiveness of the process and its results. A framework, originally created to document decision aid processes and to study the reasons for backward and forward cycles in the process, has been used to comparatively analyse several multi-criteria decision aid interventions. The study has led to the identification of three basic process typologies, in relation with some organisational and processual complexities and factors which, as behavioural aspects, have the main influence on the interaction between the analysts and actors of a decision aid process. The work is a proposal for the behavioral OR research agenda.

An Integrated Approach of Analytic Hierarchy Process and Triangular Fuzzy Sets for Analyzing the Park-and-Ride Facility Location Problem

A park and ride (P&R) system is a set of facilities where private vehicle users can transfer to public transport to complete their journey. The main advantage of the system is reducing the congestions problem in the central business district (CBD). Thus, the notion of symmetry is particularly important in multi-criteria decision aid (MCDA) because they are basic characteristics of the binary relationships used in modelling the preferences of decision-makers. The focal point of this study is evaluating the P&R facility system location problem from the experts’ point of view. For this aim, an integrated multicriteria decision-making (MCDM) methodology is proposed to evaluate the location of the facilities of the P&R system. The questionnaire survey was designed and estimated by 10 transport experts in the related field. The famous analytic hierarchy process (AHP) was adopted in a fuzzy environment, where the fuzzy sets have an efficient ability to manage the vague concepts in a specific way; moreover, it can mitigate the evaluator reasoning during decision-making. The hierarchical structure of the problem was established to evaluate a real-life problem in Cuenca city, Ecuador. The outcomes highlighted the “accessibility of public transport” as the most significant issue in the P&R facility location problem. The obtained results provide more flexible facilities than the pure AHP method.

Management Support Model for Information Technology Outsourcing

This study deals with the problem of outsourcing management, presenting a structure to support decision-making on effective information-technology outsourcing and highlighting the advantages and disadvantages that must be addressed. Since the study involves multiple variables, partially defined and conflicting objectives, and the will of decision-makers to broaden their understanding of the impact of decisions, the study used the multicriteria decision aid constructivist method to lead data collection and analysis. The chief results presented are: (i) a structured appraisal arranged by 8 strategic objectives and 107 performance indicators; (ii) the strengths and weaknesses of the status quo; and (iii) a process diagram for generating improvements. To ensure presentation of scientific and practical recognition in accordance with the constructivist path, the epistemological view adopted meets the scientific and practical requirements to ensure validity, legitimacy, and effectiveness of a model to support a decision-making process in a practical environment.

Financial modelling with multiple criteria decision making: A systematic literature review

Models and methods of multi-criteria decision making/aiding (MCDM/A) work as viable alternatives to deal with the complexity and the multiple objectives that financial decisions can include. This paper presents a study about the state-of-the-art involving the use of MCDM/A for financial decisions by undertaking a systematic literature review (SLR) that seeks to respond to a set of relevant questions on this field. It contributes to the literature by setting out a categorisation of the kinds of problems approached in the reviewed papers and by verifying a set of relevant research questions for which statistical tools are used. Therefore, this paper includes an analysis of the main financial criteria and the MCDM/A methods used for financial decisions; the problematics covered by the papers; and identifying the main authors, journals and financial areas supported by these models. Throughout the paper, other reviews are discussed and literature prior to and after the sub-prime crisis is analysed.

Modelo multicritérios para o controle de qualidade da fralda geriátrica para o uso hospitalar

O presente estudo tem o objetivo de levantar as possíveis fragilidades das especificações das fraldas geriátricas a fim de discriminá-las em aprovada; aprovada com limitações e reprovada pela probabilidade de risco de incidência e prevalência de lesões de pele por pressão e/ou umidade, segundo o pressuposto de que a qualidade dos componentes das fraldas geriátricas pode ter um papel importante no surgimento das lesões de pele. Empregou-se relato de experiência, com amostra de quatro fraldas geriátricas, de uma mesma embalagem. Foram usados para testes: azul de metileno, água potável e cálice graduado. Criadas escalas para medição de volume miccional e modelo multicritérios para a qualidade das fraldas geriátricas para uso hospitalar. Com a metodologia de testes de produtos industriais e Multi Criteria Decision Aid (MCDA) foi possível avaliar as fraldas geriátricas segundo a presença de níveis variados de umidade, após a aplicação de solução-teste de simulação de volumes miccionais. Entretanto, mesmo sem o peso sobre as fraldas geriátricas ou com aplicação de apenas ¼ do peso especificado na embalagem, a cobertura ao toque com volume a partir de 400 ml, tanto a cobertura e o lençol, estavam com níveis diferentes de presença de umidade. Assim, existe a probabilidade da associação da qualidade das fraldas geriátricas com a incidência e prevalência de lesão por pressão e/ou umidade.

Application of multicriteria decision aid for evaluation of ICT usage in business

The different types of business management systems provide the functionality for management of business enterprises by enabling the maintaining of data about the management of all types of resources used in business. The statistical data helps us in revealing of information about the functioning of enterprises and the implementation of information communication technologies (ICT). Our research area concerns the methods for evaluation of ICT access and usage in businesses and possibilities to evaluate a variety of different types of used systems. The access and usage of ICT by business enterprises have differences and is quite complex for evaluation. Countries provide statistical data about the level of ICT usage. An approach presented by this research include some methods for multi-criteria decision support by applying the TOPSIS, AHP and SAW methods. As the case study we demonstrate the evaluation of ICT usage in small and medium enterprises of business of Lithuania in comparison with other countries. The TOPSIS method provides the structure of decision making which help to evaluate the distance between the level of ICT usage in business of some countries of EU. Empirical research results show disparities of evaluation of countries by ICT usage in business according to the dynamic perspective.

APOIO HUMANITÁRIO AO COMBATE À PANDEMIA DE COVID-19: uma abordagem multicritério para escolha de navio da marinha do brasil mais adequado a ser empregado

Este artigo tem por objetivo aplicar o método SAPEVO-M a fim de selecionar o Navio da Marinha do Brasil (MB) mais indicado a ser empregado no apoio ao combate à pandemia de COVID-19. Para a análise proposta, foram comparados os três navios da Esquadra mais comumente empregados em ações de ajuda humanitária: PHM “Atlântico”, NDM “Bahia” e NDCC “Saboia”. O navio escolhido seria empregado como Navio-Hospital, focando seus atendimentos médicos em casos menos graves, de doenças não-contagiosas, ajudando a aliviar o sistema hospitalar do país, que corre o risco de colapsar devido ao elevado número de casos de COVID-19. Os navios tiveram suas características operacionais e instalações hospitalares avaliadas por Oficiais Médicos e operativos da MB, levando em consideração os critérios mobilidade, capacidade aérea e capacidade hospitalar. Este trabalho traz uma valiosa contribuição para a academia e sociedade, uma vez que representa a aplicação de um método de auxílio à decisão multicritério no estado da arte para contribuir com a solução de um problema real que afeta milhões de pessoas no mundo. Após a aplicação do método, o NDM “Bahia” foi selecionado para ser empregado como Navio-Hospital no combate à pandemia.

Multicriteria decision aid analysis for the optimum performance of an ambient light sensor: methodology and case study

Lighting corresponds to a significant amount of a building’s total energy consumption, hence a variety of alternatives exist so as to minimize the energy consumption used for lighting such as the installation of energy efficient light sources and the exploitation of lighting controls and more significantly daylight harvesting. The position of an ambient light sensor that adjusts artificial lighting according to daylight levels is a key factor that affects the operation of any daylight harvesting system. This paper presents a multicriteria decision aid method to find the optimal position for the installation of an ambient light sensor, thus optimizing the performance of daylight exploitation system. Three criteria are proposed namely visual comfort, energy saving and the coefficient of correlation between the illuminance on the working plane and the illuminance perceived by the sensor on the ceiling. The multicriteria method PROMETHEE II is applied so as to evaluate 30 alternative positions and deduce the optimal one in an office room. The proposed methodology is flexible and highly customizable and can contribute significantly to the efficient commissioning of any daylight harvesting system.

Prioritizing Barriers to Be Solved to the Implementation of Reverse Logistics of E-Waste in Brazil under a Multicriteria Decision Aid Approach

This study aims to identify the main barriers to fully implement the reverse logistics of e-waste in Brazil and prioritize them under a Multicriteria Decision Aid approach (MCDA) according to the perceptions of small and medium-sized companies, consumers, and the Brazilian government. Hence, the study was conducted in two steps: (i) Systematic literature review to identify the main barriers, with data collection carried out through a documental analysis, and (ii) MCDA application, through self-administered questionnaires. In order to deal with the uncertainty in subjective measures, the method of Composition of Probabilistic Preferences (CPP) was applied to analyze the results of each group of decision maker, opting for the progressive-pessimistic scenario to prioritize the barriers to be solved. As main results, a priority classification of the internal and external barriers considering each category of decision maker was obtained. Moreover, it was verified that the government and micro and small companies agreed that internal barriers with an organizational nature or related to infrastructure management are the main obstacles to the implementation of reverse logistics. On the other hand, consumers consider the managerial or organizational barriers as a priority.

The application of PROMETHEE multi-criteria decision aid in financial decision making: Case of distress prediction models evaluation

Conflicting rankings corresponding to alternative performance criteria and measures are mostly reported in the mono-criterion evaluation of competing distress prediction models (DPMs). To overcome this issue, this study extends the application of the expert system to corporate credit risk and distress prediction through proposing a Multi-criteria Decision Aid (MCDA), namely PROMETHEE II, which provides a multi-criteria evaluation of competing DPMs. In addition, using data on Chinese firms listed on Shanghai and Shenzhen stock exchanges, we perform an exhaustive comparative analysis of the most popular DPMs; namely, statistical, artificial intelligence and machine learning models under both mono-criterion and multi-criteria frameworks. Further, we address two prevailing research questions; namely, "which DPM performs better in predicting distress?" and "will training models with corporate governance indicators (CGIs) enhance the performance of models?”; and discuss our findings. Our multi-criteria ranking suggests that non-parametric DPMs outperform parametric ones, where random forest and bagging CART are among the best machine learning DPMs. Further, models fed with CGIs as features outperform those fed without CGIs.

Organizational knowledge retention management using a constructivist multi-criteria model

Purpose The purpose of this paper is to support the management of organizational knowledge retention through a multi-criteria decision aiding–constructivist model. Design/methodology/approach This exploratory and descriptive case study presents a decision support model guided by the constructivist approach and proactive in its operationalization. Findings The objectives and concerns of decision-makers regarding the retention of organizational knowledge are identified and organized into six strategic areas of concern, namely, recognition, knowledge dissemination, organizational culture, succession of professionals, management of vulnerability origins and knowledge management; a multi-criteria model is constructed and operationalized by a cluster of cardinal scales, showing and measuring the status quo of the performance profile, both in a local and global way, to support the management of the organization's knowledge retention; activities are classified into three performance levels (compromising, competitive and excellent), supported by graphical and numerical evidence; and the process to generate actions to improve the performance of critical activities and create the conditions to maximize the results of the organization is illustrated. Practical implications Based on the model, decision-makers are now aware of the essential aspects to support knowledge retention management, enabling them to monitor the current situation and proactively respond to ensure that the current knowledge potential is maintained and exploited. Originality/value Use of a constructivist approach to support the management of knowledge retention, incorporating into the model the specifics of the context and the values of its managers, and thus giving it legitimacy.