Procurement process: Decision by exclusion and pairwise comparisons

Abstract

Two case studies illustrate multicriteria decision making techniques frequently used in procurement practice: least-cost sufficient performance and weighted utility optimization. Both techniques have defects and are rarely robust. Decision by exclusion and pairwise comparisons is proposed as a third approach which eliminates inferior alternatives by generalized forms of minimum performance requirements established under multicriteria framework. It is more robust and maintains high level of accountability.multicriteria methodology decision process tendering case study