JUDGMENT NUMBER REDUCTION: AN ISSUE IN THE ANALYTIC HIERARCHY PROCESS

Long-Ting Wu (), Xia Cui () and Ru-Wei Dai ()
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Long-Ting Wu: School of Accounting and Finance, Zhongnan University of Economics and Law, #1 South Nanhu Road, Wuhan City, Hubei Province, 430073, P. R. China
Xia Cui: Institute of Automation, Chinese Academy of Sciences, No. 95 Zhongguancun East Road, Haidian District, Beijing 100190, P. R. China
Ru-Wei Dai: Institute of Automation, Chinese Academy of Sciences, No. 95 Zhongguancun East Road, Haidian District, Beijing 100190, P. R. China

International Journal of Information Technology & Decision Making (IJITDM), 2010, vol. 09, issue 01, 175-189

Abstract: The Analytic Hierarchy Process (AHP) uses pairwise comparison to evaluate alternatives' advantages to a certain criterion. For decision-making problem with many different criteria and alternatives, pairwise comparison causes a prolonged decision-making period and rises fatigue in decision-makers' mentality. A question of practical value is if there exists a way to reduce judgment number and what influence the reduction will have on the overall evaluation of alternative ratings. To answer this question, we introduce scale error and judgment error into AHP judgment matrix. By expanding the scales defined in the AHP, scale error is eliminated. Taking judgment error as random variable, a new estimator to calculate priority vector is presented. In the end, an example is proved to show lowering judgment number will increase the probability of larger errors appearing in priority vector computation.

Keywords: Decision making; AHP; judgment number reduction; statistical modeling (search for similar items in EconPapers)
Date: 2010
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Citations: View citations in EconPapers (2)

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DOI: 10.1142/S0219622010003683

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