A Duality Procedure to Elicit Nonlinear Multiattribute Utility Functions.

The practical implementation of the Multiattribute Utility Theory is limited, partly for the lack of operative methods to elicit the parameters of the Multiattribute Utility Function, particularly when this function is not linear. As a consequence, most studies are restricted to linear specifications, which are easier to estimate and to interpret. We propose an indirect method to elicit the parameters of a nonlinear utility function to be compatible with the actual behaviour of decision makers, rather than with their answers to direct surveys. The idea rests on approaching the parameter estimation problem as a dual of the decision problem and making the observed decisions to be compatible with a rational decision making process.Multiple-Criteria Analysis, Multi-Attribute Utility Function, Simulation, Agriculture.

Critical Maintenance of Thermal Power Plant Using the Combination of Failure Mode Effect Analysis and AHP Approches

The electricity power generation plays the important role of every business or industrial, since it must be supplied to cove with the full consumption on demand sites. To keep with constant operating point of electric power generation of thermal process, the maintenance is the most crucial technique for preserving the deterioration or damage of equipments. In this research the thermal power plant of Electric Generation Authority of Thailand (EGAT) is selected to develop the maintenance system. Historical maintenance data of each unit of thermal plant must be retrieved. The data are classified and identified in four levels such as units, systems, equipments, and component. The data is characterized to database manner by using SQLserver and Visual C# 2005 is used for implementing the user program interfacing. The criteria level applies the combination of Failure Mode Effect Analysis (FMEA) and AHP approaches to find the critical ranking priority of failure mode relating to three criteria such as maintenance cost, man per hour working, line priority. In summary of this research, we analyze and develop the software for maintenance priority and management for thermal power plant. The developed software can help the maintenance team for making decision in spare part management and it is friendly-user to pursuit the maintenance policy focused on critical maintaining equipments in overall system

Identification of Public Objectives Related to Agricultural Sector Support

The Common Agricultural Policy (CAP) is a widely debated policy in terms of both its budget and its instruments. In order to serve the citizens of Europe properly, CAP requires optimal identification of the public objectives desired. This paper aims to analyse the relative weights that citizens assign to the various potential objectives of the CAP and to show how these can be used to improve the selection of policy instruments. As a means of identifying social preferences we used the Analytical Hierarchy Process (AHP) technique on a population sample in Castilla y León (Spain). Results show how the current policy decision process lacks mechanisms capable of identifying social preferences and thus leading to the choice of sub-optimal policies.Common Agricultural Policy, Objectives, Social preferences, AHP, Castilla y León.

A new parsimonious AHP methodology: assigning priorities to many objects by comparing pairwise few reference objects

We propose a development of the Analytic Hierarchy Process (AHP) permitting to use the methodology also for decision problems with a very large number of alternatives and several criteria. While the ap- plication of the original AHP method involves many pairwise comparisons between considered objects, that can be alternatives with respect to considered criteria or criteria between them, our parsimonious proposal is composed of five steps: (i) direct evaluation of the objects at hand; (ii) selection of some reference objects; (iii) application of the original AHP method to the reference objects; (iv) check of the consistency of the pairwise comparisons of AHP and the compatibility between the rating and the prior- itization with a subsequent discussion with the decision maker who can modify the rating or pairwise comparisons of reference objects; (v) revision of the direct evaluation on the basis of the prioritization supplied by AHP on reference objects. Our approach permits to avoid the distortion of comparing more relevant objects (reference points) with less relevant objects. Moreover, our AHP approach avoids rank reversal problems, that is, changes of the order in the prioritizations due to adding or removing one or more objects from the set of considered objects. The new proposal has been tested and experimentally validated

The rank reversal problem in multi-criteria decision making : a literature review

Despite the importance of multicriteria decision-making (MCDM) techniques for constructing effective decision models, there are many criticisms due to the occurrence of a problem called rank reversal. Nevertheless, there is a lack of a systematic literature review on this important subject which involves different methods. This study reviews the pertinent literature on rank reversal, based on 130 related articles published from 1980 to 2015 in international journals, which were gathered and analyzed according to the following perspectives: multicriteria technique, year and journal in which the papers were published, co-authorship network, rank reversal types, and research goal. Thus our survey provides recommendations for future research, besides useful information and knowledge regarding rank reversal in the MCDM field

Six Sigma vs. Design for Six Sigma: selection of the requisite Six Sigma approach using multi-criteria decision analysis: innovation report

The literature suggests that organisations which have adopted Six Sigma have realised that upon achieving a Five Sigma level the only way to surpass this is to redesign the process(es) by means of Design for Six Sigma (DFSS). For others, the selection of Six Sigma over the DFSS approach is not a definitive question and just a guideline can be provided. A major objective of this research was to extend the selection of the requisite Six Sigma approach beyond the sigma level case and the general guidelines, towards a multi-criteria decision using established techniques. Thus, two research questions were defined: what influences the selection of the requisite Six Sigma approach, i. e. Six Sigma versus DFSS? and, how effective is the use of Multi-Criteria Decision Analysis (MCDA) techniques in the selection of the requisite Six Sigma approach? An action research methodology was applied where one Six Sigma project, one DFSS project and one Six Sigma project applied in a non-manufacturing process were implemented and analysed in collaboration with 3M Corporation, General Domestic Appliances (GDA) and Land Rover. From the action research spiral it was concluded that the sigma level has a positive association with the selection of redesign or improvement efforts within Six Sigma, however the Five Sigma level cannot necessarily dictate the use of one approach over the other. Besides the sigma level the selection of the requisite Six Sigma approach is influenced by multiple and conflicting criteria. In addition, the selection can occur at different stages of the methodologies. To assist decision-makers in organising, synthesising and optimising the criteria affecting this decision, the Stochastic Analytic Hierarchy Process (SAHP) was developed and applied to the problem at hand. The SAHP was developed on the basis of Analytic Hierarchy Process (AHP) and disparate sources of relevant literature. SAHP provides a mechanism for achieving a more effective selection of the requisite Six Sigma approach in the form of considering multiple and conflicting criteria using quantitative and qualitative information under uncertainty. In contrast to the traditional AHP, SAHP incorporates probabilistic distributions to incorporate uncertainty that people have in converging into a Likert scale their judgments of preferences. The vector of priorities is calculated using Monte Carlo simulation and the final rankings analysed for rank reversal using statistical analysis with managerial aspects introduced systematically. The concept and implementation of SAHP is new to the selection of the requisite Six Sigma approach and as such it constitutes the main innovation to result from this research. It extends the selection of the requisite Six Sigma approach towards a systematic multi-criteria decision considering multiple and conflicting criteria under uncertainty. Furthermore, while SAHP was originally conceived as a specific aid to the improve or redesign issue within Six Sigma, this research indicates that it is potentially much more widely applicable. This research also provides evidence of how different factors affecting the selection of requisite Six Sigma approach were considered. Further areas of research include the use of a positivist method in order to increase the sample size of the research and identify different factors affecting the decision improve or redesign. The development of SAHP software and extending the SAHP practice to different multi-criteria decisions are also potential areas for further research

An Empirical Study on the Establishment of Global Logistics Strategies for Korean Logistics Companies

This study was aimed to develop a strategic response model of global logistics for Korean logistic companies. First of all, various strategic variables on global logistics function were investigated through the literature review and they were organized as main factors by a principle component analysis. The results of factor analysis indicated that first, in the international logistics basic function, following transport function, carrier selection & contract to port/airport, and transport line & schedule management showed differences in factor values and they could be categorized into the transport function. Moreover, as sea/air freight loading, followed by international multimodal transport, space arrangement & contract, rate negotiation & freight payment, and LCL shipment consolidation showed statistically significant high factor values, they could be classified into the forwarding function. Second, in the export/import operating function, export/import statement and export/import cargo inspection could be named as the custom function. In addition, functions such as invoice arrangement, L/C inspection, B/L arrangement, and export/import payment were titled as the trade operating supporting function. Third, in the value added logistics service function, warehouse & custody management, inventory replenishment/management, assortment,product inspection were tied into the inventory management function. Next, D/O management/distribution management, product return, debts withdrawal/payment were categorized into the transaction supporting function. Labeling, repackaging, assembly, and repairing could be also organized as the order fulfillment function. Fourth, as information/consulting service function, international trade advice, claim fulfillment, exporter/importer concern negotiation, export market consultation, and the law consultation were categorized into the consulting function, and logistics information system and distribution/sale strategy system could be organized as the information function. Furthermore, based on these results, strategic priorities of global logistics, including 33 low-ranking strategic variables, 10 middle-ranking strategic variables, and 4 high-ranking strategic variables were investigated by the AHP Analysis. The results showed that contribution rates of export/import operating function, information/consulting service function, value added logistics service function, international logistics basic function to the achievement of strategies were estimated to be 0.437, 0.227, 0.185, and 0.151, respectively in the high-ranking strategies. Also, in order to achieve the high-ranking strategies, the strategic contribution rate of custom function was analyzed to be 0.500 that was the same as of trade operating supporting function in export/import operating function. In information/consulting service function, strategic contribution rates of consulting function and information function were estimated to be 0.857 and 0.143, respectively. In value added logistics service function, strategic contribution rates were estimated to be as follows0.413 of transaction supporting function, 0.327 of inventory replenishment/management, 0.260 of order fulfillment function in order. Finally, strategic contribution rates of transport function, forwarding function, and custody/warehouse management were evaluated to be 0.472, 0.444, and 0.084, respectively in international logistics basic function. From the results, it was confirmed that the international logistics basic function, composed of transport function, forwarding function,custody/warehouse management, that has been considered as an important factor for global logistics of logistics companies showed the lowest rate of strategic contribution. On the contrary, export/import operating function such as custom function and trade operating supporting function, and information function like international trade advice, logistics information system, and distribution/sale strategy system showed a high rate of strategic contribution. Although value added logistics service function including order fulfillment function such as labeling, repackaging, assembly, repairing has been emphasized from a research point of view, it showed a low rate of strategic contribution. In conclusion, both international logistics basic function such as transport, forwarding, custody, and value added logistics service function like inventory replenishment/management, order fulfillment function could be regarded as essential strategies, not core strategies for international logistics. Thus, it can be thought that strategic responses on the sectors such as export/import operating function and information/consulting service function would be important as core logistics strategies for international logistics companies.제1장 서론 = 1 제1절 연구과제 = 1 1. 연구배경 및 목적 = 1 2. 연구내용 및 범위 = 2 제2절 연구방법 및 분석체계 = 3 제2장 국제로지스틱스를 위한 전략 = 5 제1절 국제물류기업의 전략 = 5 1. 국제물류체계 구축 전략 = 5 2. 종합물류서비스 전략 = 7 3. 국제물류기업의 경영 전략 = 9 제2절 우리나라 국제물류 전략 = 12 1. 국내 물류업의 구조적 특징 = 12 2. 국제 물류업 육성 전략 = 24 제3절 국제로지스틱스의 전개방향 = 34 1. 국제로지스틱스의 단계별 대응 과제 = 34 2. 국제로지스틱스의 서비스 대응 방향 = 38 제3장 국제로지스틱스의 연구 및 전개 = 41 제1절 글로벌 공급체인의 로지스틱스 관리 = 41 1. 공급체인관리 연구 = 41 2. 글로벌 공급체인 연구 = 44 제2절 국제로지스틱스와 제3자 물류 = 46 1. 제3자 물류의 로지스틱스 편익 및 기능 연구 = 47 2. 국제로지스틱스 서비스 대응 변화 = 54 3. 국제로지스틱에 있어 차별화 물류와 표준화 물류 = 59 제3절 국제로지스틱스에 있어 제3자 물류 활용 = 64 1. 미국의 제3자 물류 = 64 2. 유럽의 제3자 물류 = 67 3. 우리나라의 제3자 물류 서비스 이용 현황 = 68 제4장 실증분석 = 72 제1절 연구변수 = 72 1. 연구변수 = 72 2. 연구변수의 신뢰성/요인분석 = 74 제2절 AHP분석 = 80 1. 전략 목표 및 계층구조 = 80 2. 전략 요소의 정리 = 81 3. 연구모형 = 83 4. 국제물류업의 전략 수립 = 86 제5장 요약 및 결론 = 97 제1절 연구요약 및 결론 = 97 제2절 연구한계 및 기여 = 100 참고문헌 = 102 부록1. 국제 물류업 설문조사 = 113 부록2. 국제 물류업 설문조사 = 11

Análise Multicritério

A atual situação da Unidade de Fuzileiros Navais de Cabo Verde, depara-se com a necessidade de reorganizar a estrutura operacional por forma a permitir o aumento de eficiência e eficácia, tendo em conta as práticas atuais. Recorreu-se ao método de tomada de decisão multicritério a fim de aferir qual a estrutura mais se adequa perante vários critérios selecionados por peritos. A presente investigação traz a tomada de decisão multicritério para o contexto militar através da aplicação do método MACBETH, em que se analisam três modelos organizacionais, sendo que os dois primeiros são pré-existentes a este trabalho de investigação, e um terceiro modelo resulta da aplicação do método Delphi, a 5 especialistas no decurso desta investigação. Recorrendo a uma Revisão Sistemática da Literatura define-se com clareza o estado da arte em torno dos métodos multicritério, e que converge para fazer a ligação dos conceitos teóricos com a parte empírica através da pertinência do MACBETH ao setor da Defesa. Contou-se com o contributo de peritos militares e investigadores na aérea da decisão multicritério, por forma a estruturar e validar o modelo geral de análise. Os resultados obtidos na presente investigação revelam que a reestruturação dos Fuzileiros Navais de Cabo Verde é fortemente recomendável, devido à ineficácia do modelo organizacional atual. Para colmatar as fragilidades identificadas, o modelo proposto em 2014 pelo Projeto n.º5 da Cooperação Técnico-Militar Luso-Cabo-Verdiana, à luz do método MACBETH, é o que melhor se adapta à realidade das Forças Armadas de Cabo Verde, trazendo um conjunto de capacidades que até ao momento são inexistentes. Conclui-se que o emprego de métodos de tomada de decisão multicritério, acarreta consigo enormes vantagens quando se procura a transparência, a eficácia e eficiência em organizações do setor público