Operations Research

A Re-Examination of the Algebraic Properties of the AHP as a Ratio-Scaling Technique

The Analytic Hierarchy Process (AHP) ratio-scaling approach is re-examined in view of the recent developments in mathematical psychology based on the so-called separable representations. The study highlights the distortions in the estimates based on the maximum eigenvalue method used in the AHP distinguishing the contributions due to random noises from the effects due to the nonlinearity of the subjective weighting function of separable representations. The analysis is based on the second order expansion of the Perron eigenvector and Perron eigenvalue in reciprocally symmetric matrices with perturbations. The asymptotic distributions of the Perron eigenvector and Perron eigenvalue are derived and related to the eigenvalue-based index of cardinal consistency used in the AHP. The results show the limits of using the latter index as a rule to assess the quality of the estimates of a ratio scale. The AHP method to estimate the ratio scales is compared with the classical ratio magnitude approach used in psychophysics.

The Analytic Hierarchy Process and the Theory of Measurement

The analytic hierarchy process (AHP) is a decision-making procedure widely used in management for establishing priorities in multicriteria decision problems. Underlying the AHP is the theory of ratio-scale measures developed in psychophysics since the middle of the last century. It is, however, well known that classical ratio-scaling approaches have several problems. We reconsider the AHP in the light of the modern theory of measurement based on the so-called separable representations recently axiomatized in mathematical psychology. We provide various theoretical and empirical results on the extent to which the AHP can be considered a reliable decision-making procedure in terms of the modern theory of subjective measurement.

Generic Approximation of Stochastic Programming Problems

International conference

Generic Approximation of Stochastic Programming Problems

International conference

Measuring by subjective estimation: testing separable representations

National conference

Estimation of Separable Representations in Psychophysical Experiments

International conference

Estimation of Separable Representations in Psychophysical Experiments

International conference

Generic Approximation of Stochastic Programming Problems

International conference

Estimation of Separable Representations in Psychophysical Experiments

National conference

An Experimental Study on Saaty Pairwise Comparison Scale

International conference