INCORPORATING PARAMETER VARIABILITY IN MULTIATTRIBUTE EVALUATION

Most decision situations in business, manufacturing and service industries represent problems with multiple alternatives where more than one objective needs to be considered in evaluating mutually exclusive strategies. A variety of approaches have been proposed and employed for evaluating such multiattribute problems. These approaches generally utilize single point or most likely estimates in the evaluation process. This paper addresses the problem of developing a probabilistic additive weighting methodology which facilitates the inclusion of variability in the evaluation procedure.