Binary decision diagrams for generating and storing non-dominated project portfolios with interval-valued project scores

Antti Toppila and Ahti Salo

European Journal of Operational Research, 2017, vol. 260, issue 1, 244-254

Abstract: When selecting a portfolio (i.e., set of) projects, the projects are often evaluated by additive scores with respect to multiple attributes. Uncertainty or incomplete information about projects’ scores can be modeled with plausible lower and upper bounds on the projects’ scores. It is recommended to select a non-dominated (ND) portfolio, that is a portfolio such that it is not possible to select another portfolio which has (i) at least as high value with respect to every attribute for all plausible scores, (ii) and has strictly higher value with respect to at least one attribute for some plausible scores. In this paper, we lay a foundation on computing (ND) project portfolios. We also present an algorithm based on binary decision diagrams (BDDs) for generating the ND portfolios. We show that our algorithms can provide significant computational advantages over previous algorithms. We also explore how BDDs can be used for storing large numbers of ND portfolios and how such BDDs can be efficiently generated.

Keywords: Portfolio Decision Analysis; Interval uncertainty (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0377221716310530
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:ejores:v:260:y:2017:i:1:p:244-254

DOI: 10.1016/j.ejor.2016.12.019

Access Statistics for this article

European Journal of Operational Research is currently edited by Roman Slowinski, Jesus Artalejo, Jean-Charles. Billaut, Robert Dyson and Lorenzo Peccati

More articles in European Journal of Operational Research from Elsevier
Bibliographic data for series maintained by Catherine Liu ().