TWO-STAGE PRIORITIZATION PROCEDURE FOR MULTIPLICATIVE AHP-GROUP DECISION MAKING

Author:

Lin Changsheng1,Kou Gang2,Peng Yi3,Alsaadi Fawaz E.4

Affiliation:

1. School of Mathematics and Statistics, Yangtze Normal University, 408100 Chongqing, China

2. School of Business Administration, Southwestern University of Finance and Economics, 611130 Chengdu, China

3. School of Management and Economics, University of Electronic Science and Technology of China, No. 2006, Xiyuan Ave, West Hi-Tech Zone, 611731 Chengdu, China

4. Department of information Technology, Faculty of Computing and IT, King Abdulaziz University, Jeddah, Saudi Arabia

Abstract

In this paper, we propose two-stage prioritization procedure (TSPP) for multiplicative Analytic Hierarchy Process-group decision making (AHP-GDM), which involves determining the group priority vector based on the individual pair-wise comparison matrices (PCMs), simultaneously considering the consensus and consistency of the individual PCMs. The first stage of the TSPP involves checking and revising the individual PCMs for reaching the acceptable consensus and consistency. The second stage of the TSPP involves estimating the group priority vector using Bayesian approach. The main characteristics of the proposed TSPP are as follows: 1) It makes full use of the prior information as well as the sample information during the Bayesian revision of the individual PCMs and the Bayesian estimation of the group priority vector; 2) It ensures that the revised individual PCMs reach the acceptable consensus and consistency; 3) It enriches the aggregation methods for the collective preference in multiplicative AHP-GDM. Finally, two numerical examples are used to evaluate the applicability and effectiveness of the proposed TSPP by the comparisons with several other methods.

Publisher

Vilnius Gediminas Technical University

Subject

Finance

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