DECISION MAKING UNDER

CERTAIN ENVIRONMENT
ANALYTIC HIERARCHY
PROCESS (AHP)
EXPOUNDED & PROPOUNDED
BY THOMAS L.SAATY (1982)
FLOW CHART of AHP
SPECIFY OBJECTIVES
IDENTIFY ALTERNATIVES
IDENTIFY RELEVANT FACTORS
DEVELOP OR REVISE MATRICES OF PAIRWISE COMPARISON OF
FACTORS
COMPUTE CONSISTENCY RATIO OF PAIRWISE COMPARISON OF
FACTORS
IS
0<RATIO<0.1


DEVELOP OR REVISE MATRIX OF PAIRWISE COMPARISON OF
ALTERNATIVES w.r.t EACH FACTOR
COMPUTE CONSISTENCY RATIO OF PAIRWISE COMPARISON
OF ALTERNATIVES
IS
0<RATIO<0.1
COMPUTE THE COMPOSITE WEIGHT FOR EACH ALTERNATIVE
SELECT THE BEST ALTERNATIVE
HAVE THE ALTERNATIVES BEEN

COMPARED w.r.t ALL THE FACTORS
R L GM PV

R 1 5 2.236 0.833
A=
L 1/5 1 0.447 0.167

1.200 6.000 2.6832 1.000

ROW AVERAGE

R 0.83 0.83 0.833
A=
L 0.17 0.17 0.167

GM: GEOMETRIC MEAN PWCM: PAIRWISE COMPARISON MATRIX

CR = (CI/RI) = (Consistency Index / Random Consistency Index of A)

CI = {(max - n) / (n-1)} ; RI = {1.98(n-2) / n} ; n= size of matrix

max (Reputation) = {(3.00026-3) (3-1)} = 0.00013 CR = 0.00013/0.99

RI = 0.66 CR < 0.1


DECISION
SELECT A UNIVERSITY
LOCATION (0.17) REPUTATION (0.83)
U of A
(0.129)
U of C
(0.182)
Uof B
(0.277)
Uof C
(0.594)
U of A
(0.545)
U of B
(0.273)
0.17 X 0.129 + 0.83
X 0.545 = 0.4743
0.17 X 0.594 + 0.83 X
0.182 = 0.2520

0.17 X 0.277 + 0.83 X
0.273 = 0.2737

HIERARCHY/
CRITERIA

ALTERNATIVES