Table Of ContentCarlos A. Bana e Costa (Ed.)
Readings in
Multiple Criteria
Decision Aid
With 124 Figures
Springer-Verlag
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Carlos A. Bana e Costa
Technical University of Lisbon (1ST)
IST-CESUR
Av. Rovisco Pais
1000 Lisbon, Portugal
ISBN- 13: 978-3-642-75937-6 e- ISBN -13: 978-3-642-75935-2
DOl: 10.1007/978-3-642-75935-2
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214217130-543210
FOREWORD
Multiple Criteria Decision Aid is a field which has seen
important developments in the last few years. This is not only
illustrated by the increasing number of papers and communications
in the scientific journals and Congresses, but also by the
activities of several international working groups. In 1983, a
first Summer School was organised at Catania (Sicily) to promote
multicriteria decision-aid in companies and to encourage
specialists to exchange didactic material. The second School was
held in 1985 at Narnur (Belgium) and I am pleased now to present
the selected readings from the "Third International Summer
School on Multicriteria Decision Aid: Methods, Applications and
Software", which took place in Monte Estoril (Portugal), in 1988.
Such was the quality of the contributions presented by the
lecturers during the Summer School that I have decided to take
advantage of this opportunity to produce a more carefully
prepared and homogeneous book rather than a simple volume of
proceedings. All the initial versions of the selected papers were
revised and some, although not included in the programme of the
School, were written in order to give a more complete overview
of the MCDA field.
I believe "Readings in Multiple Criteria Decision Aid" has
achieved its main goal: to cover the different trends in MCDA
research, not only in terms of "methods" but also in discussion
of fundamental methodological aspects, basic theoretical concepts
and conditions and problems embodying a robust real-world deci-
sion aid practice. I arn.convinced that the papers specially
related with this last issue will show the readers that the
practice of decision aid is something more complex, elaborate and
responsible than a simple direct application of multicriteria
"methods" and "software" manipulation.
VI
It is especially important to emphasise "decision-aid" as an
human art activity in an epoch where the advent of new powerful
computer facilities has given rise to an increasing production of
more and more attractive, user-friendly, visual interactive MCDA
software instruments. On the one hand, to use some "good" (in
strict computational terms) software based on a "bad" (theoreti-
cally inconsistent) method is a danger that MCDA practitioners
have to avoid. On the other hand, it should not be forgotten that
even the "best" method and software always requires human verifi-
cation of its adequacy to the specific characteristics of each
particular decision-making process, and careful interpretation
and validation of the robustness of its out-puts. Bearing this in
mind, I am sure that the MCDA software described in various pa-
pers of this book will be significant tools for aiding "analysts"
in aiding "decision-makers".
The International Summer Schools on MCDA are promoted by an
International Permanent Committee. Due to our strong friendship
links, I have invited Philippe Vincke, current President of this
Committee, to share with me the introductory chapter of this
book.
ACKNOWLEDGEMENTS
The Third International Summer School in MCDA would never have
achieved its good working relationships and enjoyable atmosphere
without the active collaboration of all of its one hundred and
twenty participants; included the twenty six scientists with
lecturing responsibilities and of course the accompanying
persons.
A special emphasis must be given to the fundamental aid of
Commanders Jos~ Cervaens Rodrigues and C~sar Dinis das Neves of
the Portuguese Navy and to the enthusiastic collaboration of its
Operations Research Centre (CIOA) staff. I sincerely thank the
Portuguese Navy for their support in the organisation of this
School, namely the facilities provided by the Naval War Institute.
VII
The Portuguese Operations Research Society (AFDIO) and the
Centre of Urban and Regional Systems (CESUR) of the Technical
University of Lisbon greatly help the Organising Committee and
the support provided by the following Portuguese institutions was
vital for the Summer School:
- Ministerio da Industria e Energia
- Ministerio dos Neg6cios Estrangeiros
- Secretaria de Estado da Ciencia e Tecnologia
- Junta Nacional de Investiga~ao Cientifica e Tecnol6gica
- Instituto Nacional de Investiga~ao Cientifica
- Funda~ao Calouste Gulbenkian
- Funda~ao Luso-Americana para 0 Desenvolvimento
- Departamento de Engenharia Civil - Instituto Superior Tecnico
- Administra~ao do Porto de Lisboa
- Imprensa Nacional - Casa da Moeda
- Banco de Fomento Nacional
- Caixa Geral de Dep6sitos
- Companhia de Seguros Bonan~a
- CIMPOR, Cimentos de Portugal
- Estaleiros Navais de Viana do Castelo
- Olivetti
- Apple
- Jamoral
- MULTISIS
- CISED
- QUADRIFORMA
- Clube Mimosa
Many people were involved in the organisation of the School.
Henrique Sequeira and Cesar Dinis das Neves shared responsibility
with me on the Organising Committee. The assistance of Gra~a
Evaristo da Silva, Ant6nia Barroso and Manuela Ferrao, both
before and during the School, was fundamental to its success.
Wilques Erlacher and Eduardo Vieitas also deserve to be mentioned
for their work in typing and preparing this volume.
Finally, I wish to thank my wife and sons for their patience
and encouragement.
Lisbon, May 1990 CARLOS A. BANA E COSTA
CONTENTS
INTRODUCTORY CHAPTER
Carlos A. Bana e Costa and Philippe Vincke
MULTIPLE CRITERIA DECISION AID: AN OVERVIEW 3
CHAPTER
MODELLING DECISION SITUATIONS
Bernard Roy
DECISION-AID AND DECISION-MAKING 17
Anna Ostanello
ACTION EVALUATION AND ACTION STRUCTURING: DIFFERENT
DECISION AID SITUATIONS REVIEWED THROUGH TWO ACTUAL CASES 36
Denis BOuyssou
BUILDING CRITERIA: A PREREQUISITE FOR MCDA 58
Jean-Claude Vansnick
MEASUREMENT THEORY AND DECISION AID 81
Philippe Vincke
BASIC CONCEPTS OF PREFERENCE MODELLING 101
Hans-Jurgen Zimmermann
DECISION MAKING IN ILL-STRUCTURED ENVIRONMENTS AND WITH
MULTIPLE CRITERIA 119
x
CHAPTER I I
THE OUTRANKING APPROACH
Bernard Roy
THE OUTRANKING APPROACH AND THE FOUNDATIONS OF ELECTRE
METHODS 155
Daniel Vanderpooten
THE CONSTRUCTION OF PRESCRIPTIONS IN OUTRANKING METHODS 184
Jean Pierre Brans and Bertrand Mareschal
THE PROMETHEE METHODS FOR MCDM; THE PROMCALC, GAIA AND
BANKADVISER SOFTWARE 216
Benedetto Matarazzo
A PAIRWISE CRITERION COMPARISON APPROACH: THE MAPPAC AND
PRAGMA METHODS 253
CHAPTER I I I
VALUE AND UTILITY THEORY APPROACH
Rakesh K. Sarin
CONJOINT MEASUREMENT: THEORY AND METHODS 277
Ernest H. Forman
MULTI CRITERIA DECISION MAKING AND THE ANALYTIC
HIERARCHY PROCESS 295
Valerie Belton and Stephen Vickers
USE OF A SIMPLE MULTI-ATTRIBUTE VALUE FUNCTION
INCORPORATING VISUAL INTERACTIVE SENSITIVITY ANALYSIS
FOR MULTIPLE CRITERIA DECISION MAKING 319
XI
Eric Jacquet-Lagreze
INTERACTIVE ASSESSMENT OF PREFERENCES USING HOLISTIC
JUDGMENTS: THE PREFCALC SYSTEM 335
Carlos A. Bana e Costa
AN ADDITIVE VALUE FUNCTION TECHNIQUE WITH A FUZZY
OUTRANKING RELATION FOR DEALING WITH POOR INTERCRITERIA
PREFERENCE INFORMATION 351
Ron Janssen, Peter Nijkamp, and Piet Rietve1t
QUALITATIVE MULTICRITERIA METHODS IN THE NETHERLANDS 383
CHAPTER IV
INTERACTIVE MULTIPLE OBJECTIVE PROGRAMMING
Ralph E. Steuer and Lorraine R. Gardiner
INTERACTIVE MULTIPLE OBJECTIVE PROGRAMMING: CONCEPTS,
CURRENT STATUS, AND FUTURE DIRECTIONS 413
Joao N. Climaco and Carlos H. Antunes
A COMPARISON OF MICROCOMPUTER IMPLEMENTED INTERACTIVE
MOLP METHODS BASED ON A CASE STUDY 445
Pekka Korhonen
THE MULTIOBJECTIVE LINEAR PROGRAMMING DECISION SUPPORT
SYSTEM VIG AND ITS APPLICATIONS 471
J. Teghem Jr., P. Kunsch, C. Delhaye, and F. Bourgeois
A PERSONAL COMPUTER VERSION OF THE MCDA APPROACH STRANGE 492
Jaap Spronk
INTERACTIVE MULTIFACTORIAL PLANNING: STATE OF THE ART 512
XII
CHAPTER V
GROUP DECISION AND NEGOTIATION
Tawfik Jelassi, Gregory Kersten, and Stanley Zionts
AN INTRODUCTION TO GROUP DECISION AND NEGOTIATION
SUPPORT 537
Gunter Fandel
GROUP DECISION MAKING: METHODOLOGY AND APPLICATIONS 569
Gregory E. Kersten and Wojtek Michalowski
SUPPORTING DECISION PROCESSES: AN APPROACH AND TWO
EXAMPLES 606
CHAPTER VI
THE SCHOOL CASE-STUDY
Carlos A. Bana e Costa and Jose Cervaens Rodrigues
PRESENTATION OF THE SCHOOL CASE-STUDY: EVALUATION OF
PERSONNEL - HOW TO RANK OFFICERS FOR PROMOTION? 639
Marc Pirlot
A REPORT ON THE STUDY OF THE PORTUGUESE NAVY CASE 648
