Multiple Attribute Decision Making

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1 Multiple Attribute Decision Making M E T H O D S AND A P P L I C A T I O N S Gwo-Hshiung Tzeng Jih-Jeng Huang CRC Press Taylor Si Francis Croup Boca Raton London New York CRC Press is an imprint of the Taylor & Francis Group, an informa business A CHAPMAN St HALL BOOK

2 Preface Authors xi xiii Chapter 1 Introduction Profile of Multiple Criterion Decision Making Historical Development of Multiple Attribute Decision Making Historical Development of Multiple Objective Decision Making Introduction to Fuzzy Sets Basic Concepts Fuzzy Arithmetic Operations Extension Principle a-cut Arithmetic Ranking Fuzzy Numbers Outline of this Book 11 Part I Concepts and Theory of MADM Chapter 2 Analytic Hierarchy Process Eigenvalue Method Geometric Mean Method Linear Programming Method Fuzzy Lambda-Max Method 25 Chapter 3 Analytic Network Process and Fuzzy Analytic Network Process Analytic Network Process Fuzzy Analytic Network Process Matrix Method for Fuzzy Analytic Network Process 44 Chapter 4 Simple Additive Weighting Method ^ Simple Additive Weighting Method Fuzzy Simple Additive Weighting Fuzzy Simple Additive Weighting for the Best Plan: Example of an Environment-Watershed Plan Building a Hierarchical Structure of Environment-Watershed Evaluation Criteria 61

3 VI Determining the Evaluation Criteria Weights Fuzzy Numbers Linguistic Variables Fuzzy Analytic Hierarchy Process Fuzzy Multiple Criteria Decision-Making 66 Chapter 5 TOPSIS and VIKOR TOPSIS VIKOR Comparing VIKOR and TOPSIS Fuzzy TOPSIS 76 Chapter 6 ELECTRE Method ELECTRE ELECTRE II ELECTRE III ELECTRE IV 90 Chapter 7 PROMETHEE Method The Notion of the PROMETHEE Method PROMETHEE I, II, III, IV PROMETHEE PROMETHEE II PROMETHEE III PROMETHEE IV Example for House Selection 102 Chapter 8 Gray Relational Model Concepts of Gray System and Gray Relation Gray Relation Model Gray Relation for Multiple Criteria Evaluation Example for Car Selection 107 Chapter 9 Fuzzy Integral Technique Fuzzy Integral Hierarchical Fuzzy Integral 114 Chapter 10 Rough Sets Information System Indiscernible Relation 124

4 vii 10.3 Approximation of Sets and Approximation of Accuracy Reduction of Attributes Decision Table and Decision Rules The Analytical Procedure of Data Analysis 127 Chapter 11 Structural Model Interpretive Structural Modeling Method DEMATEL Method Fuzzy Cognition Maps 138 Part II Applications of MADM Chapter 12 AHP: An Application Introduction Planning and Design Alternatives Evaluation Model Building Hierarchical Structure of Evaluation Criteria Determining the Evaluation Criteria Weights Case of Selecting the Engineering Service for Public Buildings Weights Calculation of the Evaluation Criteria Estimating the Performance Matrix Ranking the Alternatives Discussions Conclusion 156 Chapter 13 VIKOR Technique with Applications Based on DEMATEL andanp Introduction Novel Hybrid Multiple Criteria Decision Making model DEMATEL Analytic Network Process VIKOR Method i Numerical Example with Applications Discussions and Comparisons Conclusions 171 Chapter 14 TOPSIS and VIKOR: An Application Alternative Solutions Evaluation Criteria Establishing the Evaluation Criteria 177

5 viii Assessment of Criteria Weights Evaluation of the Alternatives Multicriteria Optimization Comparison of TOPSIS and VIKOR Compromise Solution Discussions Conclusions 184 Chapter 15 ELECTRE: An Application Introduction Multiple Objective Equilibrium Network Design Problem Modeling the Network Improvement Problem with Multiobjective Decision Making Model and the Solution of the Bilevel Multiobjective Network Design Evaluation and Group Decision Making for Network Improvement Project Consensus Ranking of Cook and Seiford Case Study of Metropolitan Taipei Non-inferior Solutions of Network Improvement Alternatives Evaluation Criteria of the Network Improvement Alternatives Total Travel Time Saved Total Investment Cost Improvement of Air Pollution Complexity of Underground Cables Conclusions and Recommendations 200 Chapter 16 PROMETEE: An Application Introduction.^ Solar Thermal Energy Solar Photovoltaics Fuel Cells Wind Energy Biofuels Geotherfhal Energy Ocean Energy Hydrogen Energy Evaluation of New Energy-Development Alternatives Application of AHP Application of PROMETHEE Conclusions 216

6 ix Chapter 17 Fuzzy Integral and Gray Relation: An Application Introduction Non-additive Type Fuzzy Multicriteria Evaluation Multicriteria Evaluation through the Fuzzy Integral Multiple Criteria Evaluation of the Gray Relation Model Constructing the Gray Relation Model with Non- Additive Measures Empirical Analysis: A Case Study of Taiwan's Junior Colleges Problem Descriptions Constructing Multiple Criteria Evaluation Systems Analysis Procedures Analysis Results and Discussions Conclusions 227 Appendices 228 Chapter 18 Fuzzy Integral: An Application Introduction Modeling the Hierarchical Structure of the Choquet Integral Algorithm for Identifying A, Empirical Case: Fuzzy Integral for Enterprise Intranet Websites Background and Problem Statement Constructing a Hierarchical Multiattribute Evaluation System Generating Aspects and Performance Scores for Criteria Determining the Grade of Criteria /Importance Choquet Integral for Evaluating the Case Enterprise Intranet Websites Results and Discussions? Conclusions 240 Appendix Appendix Appendix Chapter 19 Rough Sets: An Application Introduction Illustrative Empirical Study: A Case for Making Insurance Marketing Decisions Problem Descriptions Empirical Process 247

7 x 19.3 Study of Customer Needs and Reason for No Purchase Empirical Result Discussions Conclusions 255 Appendix Appendix Chapter 20 Extending the DEMATEL Method for Group Decision Making in Fuzzy Environments Introduction DEMATEL and Fuzzy Group Decision Making DEMATEL Method Fuzzy Group Decision Making Analytical Procedure of the Proposed Methodology Application of the Proposed Methodology Empirical Study of an Application of the Proposed Methodology Discussions Conclusions 270 Appendix 20.1 Total-Relation Matrix T 271 Appendix 273 Bibliography 309 Index 333