Data envelopment analysis for weight derivation and aggregation in the analytic hierarchy process

  • Authors:
  • Ramakrishnan Ramanathan

  • Affiliations:
  • College of Commerce and Economics, Sultan Qaboos University, Post Box 20, Postal Code 123, Oman

  • Venue:
  • Computers and Operations Research
  • Year:
  • 2006

Quantified Score

Hi-index 0.01

Visualization

Abstract

Data envelopment analysis (DEA) is proposed in this paper to generate local weights of alternatives from pair-wise comparison judgment matrices used in the analytic hierarchy process (AHP). The underlying assumption behind the approach is explained, and some salient features are explored. It is proved that DEA correctly estimates the true weights when applied to a consistent matrix formed using a known set of weights. DEA is further proposed to aggregate the local weights of alternatives in terms of different criteria to compute final weights. It is proved further that the proposed approach, called DEAHP in this paper, does not suffer from rank reversal when an irrelevant alternative(s) is added or removed.