Spare Part Allocation in Multiple Criteria
Decision Model
Rita Wiryasaputra
Abstract Information systems play a major role in the
global marketplace and influence decision making process in
day to day business activity. One of the problems found in
business activity is allocating a limited resource. Problem can
be resolved with a system developed using Multi Attribute
Decision Making (MADM) model and Multi Objective
Decision Making (MODM) model. MODM model will define
the design for the best alternative and MADM model provides
complete selection for several alternatives which have limited
resources. MADM model is used to simplify the mathematical
form of MODM. MADM model approach, such as Technique
for Order Preference by Similarity to Ideal Solution
(TOPSIS) is used for cardinal characteristic data format.
Decision-maker provides values for weighing criteria as an
input to the TOPSIS methods, values are calculated with
Entropy methodology. The output of TOPSIS methods will
provide rank to several alternatives. The rank of alternatives
become the decision variables in mathematical MODM model
for linear programming to resolve the problem of limited
allocated resource. Finally, decision support system defines
ranks of selected stores and it also presents the capacity of
each store for distributing spare part.
Key words Decision Support Model, Entropy, Linear
Programming, TOPSIS
I. INTRODUCTION
M anagement is a process by which organizational goals
are achieved by using resource. The resource are
considered inputs, and attainment of goals is viewed as the
output of the process. The degree of success of the
organization and the manager is often measured by the
ratio of outputs to inputs. This ratio is an indication of the
organizationals productivity, which is a reflection of the
organizational and managerial performance. The success of
management depends on the performance of managerial
functions, such as planning, organizing, directing and
controlling. To perform their functions, managers are
engaged in a continuous process of making decision.
Decision making problem is the process of finding the best
opinion from all of the feasible alternatives. Decison
making model is a tool that represents problem in decision
making, it consists of Multi Attribute Decision Making
(MADM) and Multi Objective Decision Making (MODM).
MODM model is used to define the best alternative of
design and MADM model is used to define the selection of
several limited of alternatives. The selection approach in
MADM model depends on the problem characteristics and
51
based on the preference of decision making. One of the
approach MADM model is TOPSIS (Technique for Order
Performance by Similarity to Ideal Solution) has cardinal
type characteristic data. Based on several studies, the
ranking using the TOPSIS method has the closest result to
the problem in the reality. Characteristic of TOPSIS
method is close to neutral since the best preferred
alternative is defined from negative ideal solution as well as
positive ideal solution. The main concept of TOPSIS
method defines the best alternative which not only has the
closest distance from positive ideal solution but also has the
furthest distance from negative ideal solution [1].
References [2] shows TOPSIS decision model with the
combination of Fuzzy to determine logistic location in
south-east area of Turkey. This study uses qualitative data.
Input of MADM model are weighing criteria which can be
provided by decision making or using another methodology.
Discrimination among several weighing criteria data is
calculated using a Entropy concept to ensure the data is
compatible. Entropy method is used to estimate the number
of data in quantity and to count relative information
weighing objectively [3]. Hsu [4] was using Entropy
decision model and TOPSIS to determine vendor from
several hospital-outsourcing services in Taiwan. Many
problems naturally lend themselves to a linear
programming formulation, and may other problems can be
closely approximated by models with this structure. It helps
managers in planning and decision making realative to
resource allocation. Efficient solution techniques exist for
solving models of linear programming type. The output
generated from linear programming packages provides
useful what-if information concerning the sensitivity of the
optimal solution to changes in the models coeficient [5].
MODM model is developed from linear programming as a
tool to obtain an optimal solution to complete the allocation
problem or placement of limited resources and it is
presented mathematically. Linear programming model is a
model that seeks to maximize a linear objective function
subject to a set of linear constraints [5]. The powerful for
linear programming model is simplex method. The simplex
method systematically examines corner points, using
algebraic steps, until an optimal solution is found. It is
assumed that the used of MADM model will simplify linear
programming mathematical model decision variables. This
paper propose to select store and its distribution using
Entropy, TOPSIS and Linear programming-Simplex.
 II. METHODOLOGY a. Normalize each evaluated element in the matrix
Decision support systems application can be composed of a with reference criteria characteristic.
data management subsystem, a model management For the sake of having the same scale of
subsystem, a user interface subsystem [6]. It is shown measurement for the n indicators, it is assumed that
schematically in Fig. 1. Decision-making must be effective, all the initial entry values in the matrix are in the
systematic, and objective to select an appropriate store. range from 0 to 1. This is achieved by normalizing
Decision making provides input to system in form of the elements of the initial matrix according to the
selection code of spare part required, quantity of spare part Eq. (2)
required to be distributed, number of stores that will be bik
; for benefit criterion
ranked based on the existing data criteria, and limitation of
freight cost. The research adapts the study case regards to cik = bikmaks
bik min ; for cost criterion
spare part allocation using MADM TOPSIS model and
bik (2)
MODM Linear Programming-Simplex using cardinal data
b. Calculation of criteria probability is defined by P ik as
and quantitative data. The processes are shown in Fig. 2.
follows:
c (3)
Pik = m ik
Internal Data Model i =1 cik
Data Management Management
c. Measure Entropy for each criteria.
The entropy measurement of the k th criterion
User (indicator) as follows:
Eksternal Interface
k =1 [Pik ln Pik ]
1 (4)
Ek =
n
Data ln m

d. Calculation of Entropy weighing.

User
A weight assigned to an attribute (indicator or
Fig. 1. Schematic view of DSS criteria) is directly related to the average intrinsic
information generated by a given set of data in
Calculated additon to its subjective assessment. Equation (5)
Ranks state that indicators with less entropy values have
weighing
Data using
using upper level of information content and thus a higher
Conversion TOPSIS
Entropy weight is assigned to them. Equation (6) is applied
method
method to combine the objective importance Wk with the
subjective importance to evaluate the integrated
Determine the importance of the k th indicator parameter.
distribution
Lk = n ( n
1
[1 Ek ]
Output using Linear k =1 Ek ) (5)
Programming Lk * w k
WEk = n
method k =1 Lk * w k (6)

Fig. 2. Steps of system process 3. Ranks spare part store with TOPSIS method.
TOPSIS is called Technique for Order Preference by
Entropy is used to calculate weighing objectivity of criteria. Similarity to Ideal Solution. It is very effective in
TOPSIS method is used to rank alternatives in descending multiattribute decision analysis. Step to defined TOPSIS
order. After that, Linear programming method-Simplex is method as follows :
used for allocation. The research prosedures are explained a. Define matrix of normalized decision in order to
as follows: measure the score according to several indicatiors
1. Provide scoring to each spare part store according the (initial value in the matrix is scale from 0 to 1).
determined criteria. bik
The m set of data for n indicators is used to form the rik =
i =1 bik
m 2
(7)
evaluation matrix as shown in Eq.(1)
Elemen bik of the evaluation matrix represents the i th
b. Define matrix of normalized decision scale(V) where
set of data for the k th indicator. (i= 1, 2, 3,...,m; k= 1, each normalized alternative value (r ij ) times
2,...n) weighing of each criteria (WE k ) resulting to Entropy
b11 ... b1n calculation method. Normalized matrix used to find

(1) the superior project and inferior project (that is ideal
EM = ... ... ...
solution and non-ideal solution)
bm1 ... bmn WE1 r11 ... WEn r1n


V = ... ... ...
2. Calculate objectivity of weighing from the criteria using
(8)
the Entropy method as follows: WE1 r m1 ... WEn r mn

52
 c. Determine the positive ideal solution and negative Several criterias have used respectively such as stock,
ideal solution based on criteria attribute delivery time, percentage of customer complaints, profit,
characteristic. level of communication. To support the normalization
maksi Vik ; if k is benefit criterion process, firstly required to know the criteria characteristic
= (V1+ , V +2 ,... V +n ) (9)
+
Sk = whether it is benefit criteria or cost criteria. Benefit criteria
mini Vik ; if k is cost criterion
is a criteria where the decision making desires maximum
mini Vik ; if k is benefit criterion value among all alternative values. Benefit criterias, such as

Sk = (
= V1 , V 2 ,... V n )( (10) stock, profit, level of communication, used in research. Cost
maksi Vik ; if k is cost criterion
criteria is the criteria where decision making desires
minimum value among all alternative values. Cost criterias,
a. Define the distances between each alternative( with such as delivery time, percentage of customer complaints,
positive ideal solution and negative ideal solution. used in research. Sample data value is converted with
Di = k =1 (Sk Sik )
n + 2
managerial criteria, the result is shown in Table 1.
(11)
D = k =1 (Sik S ) (12)
+ n 2
i k Normalization of data conversion is given in equation (14)
b. Determine the preference value to each alternative 0.50 0.8 0.40 0.33 1.00
where the reference value ( (T) is larger then it EM = 0.25 1.00 0.50 1.00 0.20 (14)
shows the preferer alternative( is chosen. 1.00 0.80 1.00 0.67 1.00

T = Di + Equation (15) shown the probability of calculated criteria

Di + Di (13) result:

4. Calculate distribution capacity of spare parts with 0.29 0.31 0.21 0.17 0.45
Linear Programming method-Simplex. The ranked EM = 0.14 0.38 0.26 0.50 0.09 (15)
alternatives become limited-function decision variable. 0.57 0.31 0.53 0.33 0.45
Steps to define the Linear Programming method, are
[7]:
Table 1. Sample data conversion of stores
a. Define objective function in maximal form.

b. Formulate problems in linear Criteria

equation. Alternatives Percentage
c. Add slack variables to each less-than (stores) Delivery of Level of
Stock Profit
or equal-to constraint and to the time customer communication
problems objective function. complaints
d. Develop an intial Simplex tableau Semarang 0.50 0.80 0.40 0.33 1.00
with slack variables in the basis and Batu Hijau -
the decision variables set equal to 0. Nusa
Compute Z j (gross profit row) and Tenggara 0.25 1.00 0.50 1.00 0.20
C j -Z j (net profit row) values for this Timur
tableau. Gunung
e. Follow these five steps until an Bayan- 1.00 0.80 1.00 0.67 1.00
optimal solution has been reached: Kaltim
1. Choose the variable with the
greatest positive C j -Z j to enter the solution. This Result of Entropy calculation for each criteria is as follow:
is the pivot column. EM = [0.87 0.99 0.93 0.92 0.85] (16)
2. Determine the solution mix variable to be
replaced and the pivot row by selecting the row
Decision making has defined initial weighing to each
with the smallest (nonnegative) ratio of the
criteria. The initial weighing which is determined by
quantity-to-pivot column substitution rate. This
criteria, is directly related to average information generated
is the pivot row.
by a cluster of Entropy value of each criteria. The initial
3. Calculate new values for pivot rows.
weighing can be summarized as the following:
4. Calculate new values for other row(s).
5. Calculation Z j and C j -Z j value for this tableau. If W k = [0.2 0.3 0.2 0.05 0.25] (17)
there are any C j -Z j numbers greater than 0,
return to step 1. If there are no C j -Z j numbers Entropy weight for each criteria is defined through the
that are greater than 0 , an optimal solution has equation below and will be used through the ranking steps
been reached. of TOPSIS method :
WE k = [0.3109 0.0189 0.1772 0.0474 0.4456] (18)
III. MODEL APPLICATION
The research uses criteria weighing which can Next step is multiplying the value to each alternative with
directly provided by decision making. It was assumed that the Entropy weighing result to obtain the normalized
several alternatives assessed based on managerial criteria.

53
weighing decision. The normalized weighing decision
matrix process is shown as follows:
0.1357 0.0116 0.1321 0.0127 0.3120
V = 0.0678 0.0093 0.1057 0.0380 0.0624
0.2714 0.0116 0.0528 0.0254 0.3120
Determination of positive ideal solution (S k +) and negative
ideal solution (S k -) are influenced by criteria characteristic
(benefit or cost), as shown in Table 2.
Table 2. Result of determination positive and negative
ideal solution
Positive ideal solution Negative ideal solution
V 1 + = min value 0.2714 V 1 - = max value 0.0678
V 2 + = max value 0.0093 V 2 - = min value 0.0116
V 3 + = max value 0.0528 V 3 - = min value 0.1321
V 4 + = min value 0.0380 V 4 - = max value 0.0127
V 5 + = max value 0.3120 V 5 - = min value 0.0624
If the difference among the positif ideal solution is larger,
the preference value of each store is smaller. If the total
preference value of store is larger, the higher the rank of
store. The preference value is larger will determine that
alternatives is selected. Through computer programming,
the calculation is more simplify and analysis process
involved, improve the efficiency of evaluation and
guarantee the evaluating process to be just and fair.
Preference value to each alternatives will be rank in
descending order, the result is given in Fig. 3. It shows that
Gunung Bayan-Kaltim become the most priority store in
distribution. Fig. 4 shows the rank of the stores in graph
form. TOPSIS result of ranked alternatives is used as varial
decision making (x 1 , x 2 , ..etc) linear programming model.
The mathematical form is shown in equation (20). Values
on the right side of equation are store resources values such
as distributed capacity of store, cost, quantity of required.
Store resources is a process of reduction between quantity
stock and minimal stock. If the variable owns a relationship
to the system then coefficient variable will be defined to a
value of 1.
Objective
Z = 20x 1 + 10x 2 + 30x 3
function: (Max)
constraints :
1x 1 + 1x 2 + 1x 3 = 70
1x 1 62
1x 2 1
1x 3 9
(20)
x 1 , x 2 ,x 3 0
Fig. 3. Rank result and optimal solution
(19)
Fig. 4. Rank result in graph form
IV. DISCUSSION AND CONCLUSION
Result derived from the system shows ranking value
store and capacity to distribute spare part are sorted
in descending order.
The use of MADM model is simplify the formulation
of mathematical MODM model.
Preference weighing values. Preference weighing
values from criteria are influenced by the data
characteristic. The larger variation among the data,
the criteria weighing is also larger and more
important.
Characteristic of each criteria (benefit atau cost).
Characteristic of each criteria (benefit atau cost)
influences ideal solution result in calculating
alternative distance of each store. When the result of
alternative distance to the positive ideal solution is
longer, the preference value of store is smaller.
APPENDIX
EM = Evaluation Matrix
bik = Data value before normalized based on store and
criteria
bik maks = Data value before normalized and has maximum
score based on store and criteria
bik min = Data value before normalized and has minimum
score based on store and criteria
c ik = Data value which has been normalized based on
score and criteria
P ik = Criteria Probability based on store and criteria
Ek = Entropy value based on normalized data per
criteria
Lk = Lambda per criteria where the value range from 0
to 1
Wk = Initial weighing determined by decision making
WE k = Entropy weighing for each criteria
r ik = Data value normalized, based on criteria from
each store
V = Matrix of normalized decision
T = Preference value for each store alternative
Di- = each alternative distance from negative ideal
solution
D i + = each alternative distance from positive ideal
solution
i = 1, 2, ...m is series of store
k = 1, 2, ..n is series of criteria
54
x 1 , x 2 ..x n = Alternative decisions

REFERENCES

[1] M. Pirdashti, A. Ghadi, M. Mohammadi, and G. Shojatalab, Multi

Criteria Decision Making Selection Model with Application to
Chemical Engineering Management Decisions, World Academy of
Science, Engineering And Technology 49, 2009.
[2] B. Erkayman, E. Gundogar, G. Akkaya, and M. Ipe, A Fuzzy Topsis
Approach for Logistics Center Location Selection, The 2011 New
Orleans International Academic Conference, New Orleans Louisiana
USA, pp.515-521, 2011.
[3] C. E. Shannon, A Mathematical Theory of Communication, The Bell
System Technical Journal vol. 27 pp. 379-423, pp. 623-656, 1948.
[4] P-F. Hsu, and M-G. Hsu, Optimizing The Information Outsourcing
Practices of Primary Care Medical Organizations Using Entropy and
TOPSIS, Springer Quality Quantity, pp. 181- 201, 2008.
[5] J. Lawrence, and B. Pasternack, Applied Management Science,
Second Edition, John Wiley&Sons, New York, pp. 48, 2002
[6] E. Turban, R. Sharda, and D. Delen, Decision Support And Business
Intelligence Systems, Pearson New Jersey, Ninth Edition, pp. 85,
2011.
[7] B. Render, R. Stair, and M. E. Hanna, Quantitative Analysis for
Management, Eight Edition, Prentice Hall, New Jersey, pp. 328-344,
2003

Rita Wiryasaputra Department of Computer Science, Indo Global

Mandiri University, Jend. Sudirman KM.4 no. 629 Palembang 30113,
Indonesia (e-mail: ritasaputra@ gmail.com).

55
 Proceedings

International Conference on Information Technology

and Applied Mathematics 2012

September 6th, 2012

Jakarta, Indonesia

Publisher:
Faculty of Information Technology, Tarumanagara University
ISSN: 2301 - 5403
 Chairman's Preface

Message from General Chair

Dr. Dyah Erny Herwindiati

Vice Dean of Faculty of Information Technology, Tarumanagara University

Information technology continues to evolve and can be applied to various fields of science. Mathematics is seen as being
fundamental to the engineering, information technology, economics, medical and many other, if not all, todays applicable
sciences.

Information and communication technology (ICT) cannot be separated from our daily life; it has changed the quality of life
in positive ways. ICT is usually defined as form of technology used to create, transmit, store, organize, share or to exchange
information for decision making purpose.

Mathematics is seen as being fundamental tool for development ICT. Mathematical structures, operations, processes, and
languages provide learners with a framework and tools for reasoning, justifying conclusions, and expressing ideas clearly.
Through mathematical activities that are practical and relevant to their lives, learners develop mathematical understanding,
problemsolving skills, and related technological skills that they can apply in their daily lives and, eventually, in the
workplace.

International Conference on Information Technology and Applied Mathematics 2012 (ICITAM 2012), organized by
Faculty of Information Technology of Tarumanagara University together with Universiti Malaysia Terengganu committee, is
a forum to bring together information technology and mathematics researchers to present research results and discuss each
other to result newest findings.

I sincerely hope that all participants will have valuable experiences in ICITAM 2012 conference through gaining new
knowledges and ideas.

Finally, I would like to thank the key note speakers and invited speakers for accepting our invitation at this conference. Our
thanks also go to the committee and partners that support the ICITAM 2012 to be succsesful.

Dr. Dyah Erny Herwindiati

ii
 Deans Preface

Welcome to The First International Conference on Information Technology and Applied Mathematics
(ICITAM 2012). ICITAM 2012 is the first conference of the series that will be held every two years.
This first ICITAM 2012 is organized and hosted by The Faculty of Information Technology
Tarumanagara University.

ICITAM 2012 is the specialized forum in Asia Pasific where Academicians, Researchers, Information
Technology Professionals, and Mathematicians gathered to present their research findings and to
exchange views, expertise, research innovations and new technologies.

There are always new things that can be explored in the field of information technology and
mathematics. On top of that, Information technology continues to evolve and can be applied to various fields of human life and
activities. Meanwhile mathematics is seen as being fundamental to the engineering, information technology, economics, medical
and health sciences, and social well being of nations.

All papers presented at ICITAM 2012 are peers reviewed from a panel of international and local peers in their respective area of
expertise. Through this process all accepted papers of ICITAM 2012 are published in the conference proceeding. Furthermore,
The papers in proceeding will be sent to be reviewed by journal Kalam Malaysia for possible publication in the journal.

Finally, I would like to thank the Keynote Speakers, Invited speakers, Authors, and Participants for joining this conference. In
addition, I would also like to thank and congratulate our Reviewers and Committee for their tireless effort and hardworking to
organized and materialized this conference.

Dean

Ery Dewayani

iii
 COMMITTEES

Dr. Dyah Erny Herwindiati M.Si, (Chair)

Prof. Dr. Ismail Mohd, (Co-Chair)
Dra. Ery Dewayani, MMSI, (Co-Chair)
Jap Tji Beng, Ph.D , (Co-Chair)
Lina, Ph.D, (Co-Chair)

Desi Arisandi, MIT, (Organizing Committee)

Agus Budi Dharmawan, M.T M.Sc, (Organizing Committee)
Ir. Jeanny Pragantha, M.Eng, (Organizing Committee)
Lely Hiryanto, M.Sc, (Organizing Committee)
Dra. Chairisni Lubis, M.Kom, (Organizing Committee)
Wasino M.Kom, (Organizing Committee)
Susany Soplanit, M.Kom, (Organizing Committee)
Helmy Thendean, M.Kom, (Organizing Committee)
Bagus Mulyawan, M.M, (Organizing Committee)
Zyad Rusdi, M.Kom, (Organizing Committee)
Viny Christianti, M.Kom, (Organizing Committee)
Tony M.Kom, (Organizing Committee)
Sani. M. Isa, M.Kom, (Organizing Committee)
Dedi Trisnawarman, M.Kom, (Organizing Committee)

AR Johnsen, (Publishing and Web Committee)

Sugiyanto, MM, (Technical Committee)
Ruwanto, S.Kom, (Technical Committee)
Sumardi, (Technical Committee)
Susanti, SE, (Technical Committee)

Pullman Hotel (Venue)

iv
 TABLE OF CONTENTS

Chairman's Preface ii

Deans Preface iii

Committees iv

Table of Contents v

Keynote Speakers Paper

Research And Development In Software Certification: Past, Aziz Deraman 1

Present and Future Jamaiah H. Yahaya

Mathematical Models for Optimal Decisions under Risk in Rudiger Schultz 8

Stochastic Programming with Recourse

Impact Of IT In Our Daily Activities As a Background Of R&D Benhard Sitohang 16

Invited Speakers

Features: Selection and Fusion Aniati Murni Arymurthy 20

Biparaboloid-Ellipsoid Programming: A Perfect Ellipse Solution Ismail Bin Mohd 24

Muhammad Iqbal Al-
Banna Bin Ismail

Detection Of Abnormalities Of Lymph Node Tissues Using Arlends Chris 30

Image Texture Analysis Sony Sugiharto
Lina

Educational Game Dentist Life Susany Soplanit 33

Helmy Thendean
Tryanto
Agustinus Tanzil

Automatic Text Summarization for Bahasa Indonesia Using Jeanny Pragantha 37

Weight of Sentence and Weight of Feature Viny Christanti

Analysis Of Information System Utilization For Tourism Ahmad Murtadho 42

Industry: A Study On Indonesia E-tourism Websites Muhammad Rifki Shihab
Development
Spare Part Allocation in Multiple Criteria Decision Model Rita Wiryasaputra 51

v
PermuThinkTM a Permutation Card Game Kung-Ming Tiong 56
Li-Jen Yeoh
Keng-Boon Law

Compression and Noise Reduction of Audio WAV Files Using Chairisni Lubis
Discrete Wavelet Transform and Huffman Coding Agus Budi Dharmawan 60
Riyandi

Iris Localization using Circular Hough Transform and Horizontal Christie Valentina 64
Projection Folding Reggio N. Hartono
Teresa V. Tjahja
Anto S. Nugroho

Semantic Feature Extraction for Non-Factoid Question Eka Karyawati 69

Classification Agus Harjoko

Simulation of Single Phase Buck-Boost Inverter with Buffer Purwadi Agus Darwito 75
Inductor using PSIM Soebagio
Mauridhi Hery Purnomo

Robust Tuning of Power System Stabilizer Using Particle Swarm Muhamad Haddin 79
Optimization For Dynamic Stability Improvement Dedi Nugroho
Agus Suprajitno
Soebagio
Adi Soeprijanto
Mauridhi Hery Purnomo

Analysis Of The Calculation Of The Maximum AND Minimum Ahmad Fauzi 84

Temperature In The Satellite Form Of Cylinders

Land Classiffication using Minimum Vector Variance Method Lely Hiryanto 88

Karendef
Dyah Erny Herwindiati

Technology Acceptance Model and Operand Conditioning Norita Margareth Berta 91

Learning Theory: The development of Lasem Batik E-Book for Jap Tji Beng
Junior High School Students at Yogyakarta Ery Dewayani
Sri Tiatri

Divide and Conquer Algorithm for Determining Sequences Arief Fatchul Huda 95
Patterns in Spatiotemporal Clustering Ito Wasito
T. Basaruddin

vi