SYNDICATE 4 - YE51 - AHP Case.pptx

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  • 8/21/2019 SYNDICATE 4 - YE51 - AHP Case.pptx

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    Multi-criteria decisionmaking.

    Analytic Hierarchy Process

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    Case

    2

     A motorist is using the AHP to choose a new car from three possible

    models: an Arrow, a bestmobile and a commuter. The choice will be

    based on just two attributes: cost and style. The motorist considersthat cost is weakly more important than style.

    hen asked to compare the costs of the cars, the motorist makes

    the followig statements: on cost, the bestmobile is weakly preferred

    to the arrow, but the arrow is weakly preferred to the commuter. Alsothe bestmobile is e!tremely preferred to the commuter.

    "n style, the arrow is #ery strongly preferred to the bestmobile, but

    the commuter is weakly preferred to the arrow. Also the commuter is

    e!tremely preferred to the bestmobile.

    a. $onstruct a hierarchy to represent the decision problem

    b. $alculate the weight for each table in hierarchy and hence

    determine which car should be purchased

    c. $alculate the inconsistency ratios for the motorist comparisons of

    the cars on %i& cost and %ii& style and interpret your results

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    Analytic Hierarchy Process

    'Step 1: Structure a hierarchy.

     CostCost StyleStyle

    COMMUTER

    ARROWBESTMOBILE

    COMMUTER

    ARROWBESTMOBILE

    COMMUTER

    ARROWBESTMOBILE

    COMMUTER

    ARROWBESTMOBILE

    Overall Goal

    Criteria

    DecisionAlternatives

     To Select a new CarTo Select a new Car

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    Analytic Hierarchy Process

    Numericalratings

    Verbal judgments

    1 Equally important(preferred)

    2 eakly prefered

    ! Strongly prefered" E#tremely prefered

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    COST

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    E#ample$ Synthesi%ing&rocedure - 1

    Step 1$ Sum the 'alues in each column.

    Cost BM AR CM

    BM 1 2 6

    AR 1/2 1 2

    CM 1/6 1/3 1

    Column totals10/6 10/3 9

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    E#ample$ Synthesi%ing&rocedure - 2

    Step 2$ i'ide each element of the matri# yits column total.

    ◦ *ll columns in the normali%ed pair+isecomparison matri# no+ ha'e a sum of 1.

    Cost BM AR CM

    BM 6/10 6/10 2/3

    AR 3/10 3/10 2/9

    CM 1/10 1/10 1/9

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    E#ample$ Synthesi%ing&rocedure - ,

    Step ,$ *'erage the elements in each ro+.◦  he 'alues in the normali%ed pair+ise

    comparison matri# ha'e een con'ertedto decimal form.

    ◦  he result is usually represented as the(relati'e) priority 'ector (eigen 'ector).

    Cost BM AR CM Row Avg.

    BM 0.6 0.6 0.6670.622333

    AR 0.3 0.4 0.222 0.307333

    CM 0.1 0.1 0.111 0.103667

    Total 1,033333

    0.103667

    0.307333

    0.622333

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    E#ample$ Consistency Checking- 1

    Step 1$ Multiply each 'alue in the rst column of thepair+ise comparison matri# y the relati'epriority of the rst item considered. Sameprocedures for other items. Sum the 'aluesacross the ro+s to otain a 'ector of 'alueslaeled /+eighted sum.0

    =

    +

    +

    =

    +

    +

    3.0

    82.0

    86.1

    0.104

    207.0

    622.0

    102.0

    0.307

    615.0

    0.104

    0.312

    0.623

    1

    2

    6

     0.103667

    31

    1

    2

     0.307333

    61

    21

    1

     0.622333

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    E#ample$ Consistency Checking- 2

    Step 2$ i'ide the elements of the 'ector of+eighted sums y the correspondingpriority 'alue.

    t!" 3# Com"ut! t$! av!%ag! o& t$! valu!s 'om"ut!( )n

    st!" 2 *λma+.

    =

    2.981

    2.691

    2.990

     

    104.0/31.0

    307.0/826.0

    622.0/86.1

    887.23

    981.2691.2990.2- 

    ma+  =

    ++=

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    ST!"

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    E#ample$ Synthesi%ing&rocedure - 1

    Step 1$ Sum the 'alues in each column.

    tl! BM AR CM

    BM 1 1/4 1/6

    AR 4 1 1/2

    CM 6 2 1

    Column totals11 13/4 10/6

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    E#ample$ Synthesi%ing&rocedure - 2

    Step 2$ i'ide each element of the matri# yits column total.

    ◦ *ll columns in the normali%ed pair+isecomparison matri# no+ ha'e a sum of 1.

    tl! BM AR CM

    BM 1/11 1/13 1/10

    AR 4/11 4/13 3/10

    CM 6/11 8/13 6/10

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    E#ample$ Synthesi%ing&rocedure - ,

    Step ,$ *'erage the elements in each ro+.◦  he 'alues in the normali%ed pair+ise

    comparison matri# ha'e een con'ertedto decimal form.

    ◦  he result is usually represented as the(relati'e) priority 'ector (eigen 'ector).

    tl! BM AR CM Row Avg.

    BM 0.0909 0.0769 0.10.089

    AR 0.3636 0.3076 0.3 0.324

    CM 0.5454 0.6153 0.6 0.587

    Total 1.000

    0.587

    0.324

    0.089

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    E#ample$ Consistency Checking- 1

    Step 1$ Multiply each 'alue in the rst column of thepair+ise comparison matri# y the relati'epriority of the rst item considered. Sameprocedures for other items. Sum the 'aluesacross the ro+s to otain a 'ector of 'alueslaeled /+eighted sum.0

    =

    +

    +

    =

    +

    +

    769.1

    974.0

    268.0

    587.0

    294.0

    098.0

    648.0

    324.0

    081.0

    534.0

    356.0

    0.089

    1

    1/2

    1/6

     0.587

    2

    1

    1/4

     324.0

    6

    4

    1

     0.089

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    E#ample$ Consistency Checking- 2

    Step 2$ i'ide the elements of the 'ector of+eighted sums y the correspondingpriority 'alue.

    t!" 3# Com"ut! t$! av!%ag! o& t$! valu!s 'om"ut!( )n

    st!" 2 *λma+.

    =

    014.3

    3.006

    3.011

     

    587.0/769.1

    324.0/974.0

    089.0/268.0

    011.33

    014.3006.3011.3- 

    ma+  =

    ++=