Unit 4 Flashcards
(13 cards)
how does the point allocation method work?
Either one respondent or multiple respondents give points to each criterion
what are advantages to the point allocation method?
simple, short time to execute, transparent, scales linearly
what are the disadvantages to the point allocation method?
subjective, not precise, difficult with many criterion, difficult to reconcile scores in a group, total number of point available can influence decision-makers on allocating points
how does the direct rating method work?
rate each criterion based on its own importance level, divide scores by total score and convert to range of interest
advantages of direct rating method
simple, short time to execute, transparent, scales linearly, doesn’t constrain decision-makers, importance of one criterion can be adjusted without affecting others
disadvantages of direct rating method?
lack of precision in relative importance and choice of scale can influence results
how does the Analytic Hierarchy process work?
Its the one where you compare each criterion to all the other criterions
what are the three steps of AHP?
- create comparison/reciprocal matrix
- calculate the criteria weights
- estimate the consistency ratio to assess the level of consistency among pairwise comparisons
what are the advantages of AHP?
includes consistency check, can be easier than direct weighting, can be hierarchical, transparent
disadvantages of AHP?
number of comparisons can be high so time consuming, difficult to scale with more criteria, and difficult to use with groups
how does the ranking method for criteria weighting work?
rank criteria from most to least important then do either rank sum, rank exponent, or rank reciprocal
advantages of ranking method?
simple, short time to execute, transparent, scales linearly, can be used to give a quick check
disadvantages of ranking method?
considered an approximation because of its simplicity, lacks precision, does not provide information about the magnitude of differences between criteria
