Analytic+Hierarchy+Process+(AHP)

=Analytic Hierarchy Process (AHP) (Research Methods) (GWU EMSE 216-8000)=

Index | Topics | Lectures | Course Work | Reference

"The method attempts to elicit preference judgments from a decision maker (DM) by providing a systematic procedure for comparing alternatives ... using pairwise comparisions." (Adams 2007, p3)

"The **Analytic Hierarchy Process (AHP)** is a structured technique for dealing with [|complex decisions]. Rather than prescribing a "correct" decision, the AHP helps decision makers find one that best suits their goal and their understanding of the problem—it is a process of organizing decisions that people are already dealing with, but trying to do in their heads.

"Based on [|mathematics] and [|psychology], the AHP was developed by [|Thomas L. Saaty] in the 1970s and has been extensively studied and refined since then. It provides a comprehensive and rational framework for structuring a decision problem, for representing and quantifying its elements, for relating those elements to overall goals, and for evaluating alternative solutions." -[| Wikipedia]


 * ** Background: **Multi-criteria decision making method (MCDM) "techniques have been used to add rigor into the analysis of decision making in fields as diverse as corporate management, environmental impact assessment, and societal welfare assessment. This rigor is needed due to great complexity that exists within the decision space. In making these decisions one is attempting to chose the most optimum alternative from a variety of alternatives all measured on multiple (sometimes conflicting) criteria. To add to this complexity it is often the case that the decision criteria posses incommensurate units of measure. Therefore a structured methodology can add to the quality of the decision making process. Some examples of such methodology include the weighted sum model (WSM), the weighted product model (WPM), the elimination and choice translating reality (ELECTRE) model, the technique for order preference by similarity to ideal solution (TOPSIS) model, and the analytical hierarchy process (AHP) model." (Adams 2007, p1)
 * ** Appropriate uses of the method, including examples: **
 * Multi-criteria decision making where .....
 * ** Details of the method: **
 * 1) "State the problem.
 * 2) "Broaden the objectives of the problem or consider all actors.
 * 3) "Identify the criteria that influence the behavior.
 * 4) "Structure the problem in a hierarchy of different levels constituting goal, criteria, sub-criteria and alternatives.
 * 5) "Compare each element in the corresponding level and calibrate them on the numerical scale.
 * 6) "Perform calculations to find the maximum eigenvalue and consistency check.
 * 7) "If the maximum eigenvalue and consistency check are satisfactory then decision is taken based on the normalized values otherwise the procedure is repeated until these values lie in a desired range." (Adams 2007, p4 )
 * ** Strengths, limitations and problems associated with use of the method: **
 * "One of the greatest strength of the AHP is its flexibility in determining weighting factors for the decision makers’ preferences." (Adams 2007, p4 )
 * ]Factor weights are approixmate. ... hierarchary ... rank reversal
 * As of 2007, there were many different implementations and a "level of debate that" indicates "ved has led me to the conclusion that the AHP method has not been universally accepted within operational research and its relationship to the more traditional theories remains unsettled." (Adams 2007, p4)
 * ** Potential EMSE Uses: **
 * Determining which may be important criteria to survey or query about with ground theory or expert judgement methods.
 * As of 2007, there were many different implementations and a "level of debate that" indicates "ved has led me to the conclusion that the AHP method has not been universally accepted within operational research and its relationship to the more traditional theories remains unsettled." (Adams 2007, p4)
 * ** Potential EMSE Uses: **
 * Determining which may be important criteria to survey or query about with ground theory or expert judgement methods.

Wikipedia lists numerous references.


 * Sources**
 * EMSE 8000, Spring 2011
 * Analytic Hierarchy Process. (2011, January 23). In //Wikipedia, The Free Encyclopedia//. Retrieved 14:53, January 29, 2011, from []
 * Adams, Leon (2007), Multi-Criteria aid to decision making, The Analytical Hierarchy Process, A Term Paper submitted to Dr. Julie Ryan for EMSE 216. Fall 2007

Contributors: Sisson