Multi-Criteria Analysis – compromise programming.

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Multi-Criteria Analysis – Multi-Criteria Analysis – compromise programming compromise programming

Transcript of Multi-Criteria Analysis – compromise programming.

Page 1: Multi-Criteria Analysis – compromise programming.

Multi-Criteria Analysis – compromise Multi-Criteria Analysis – compromise programmingprogramming

Multi-Criteria Analysis – compromise Multi-Criteria Analysis – compromise programmingprogramming

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Compromise programming (CP)Compromise programming (CP)

• Similar to goal programming in that it uses the concept of minimum distance

• A distance based technique that depends on the point of reference or “ideal” point

• Attempts to minimize the “distance” from the ideal solution for a satisficing solution

• The closest one to the ideal across all criteria is the compromise solution or compromise set

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CP modelCP model

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CP model notesCP model notes

• The larger the value of p, the greater the concern becomes. – For p = one, all weighted deviations are

assumed to compensate each other perfectly. – For p = two, each weighted deviation is

accounted for in direct proportion to its size. – As p approaches the limit of infinity, the

alternative with the largest deviation completely dominates the distance measure (Zeleny, 1982).

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Using the CP modelUsing the CP model

1. Assemble data for all evaluation criteria, this becomes the evaluation matrix

Alternatives Criteria 1 Criteria 2 Criteria 3

A

B

C

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Evaluation MatrixEvaluation Matrix

Alternatives Criteria 1 Criteria 2 Criteria 3

A 1000 $65 35%

B 800 $25 15%

C 500 $90 28%

More of Criteria 1 is preferred

Lower costs for Criteria 2 is preferred

Low Percentages for Criteria 3 are preferred

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Using the CP modelUsing the CP model

2. Normalize the matrix based on rules, this becomes the payoff matrix

Alternatives Criteria 1 Criteria 2 Criteria 3

A 1.000 .270 0

B .800 .720 .58

C .500 0 .2

More of Criteria 1 is preferred

Lower costs for Criteria 2 is preferred

Low Percentages for Criteria 3 are preferred

1 - (25/90)

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Using the CP modelUsing the CP model

3. Find the best and worst for each alternative across the criteria

Alternatives Criteria 1 Criteria 2 Criteria 3

f*= best 1.000 .720 .58

f**=worst .500 0 0

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Using the CP modelUsing the CP model

4. Integrate the criteria weights, f* and f** and values for the alternative into the CP model for a parameter value of p (1, 2, oo)

Using criteria weights C1= .4, C2=.5, C3=.1

For Alternative A and p = 1

(.4) [(1.00-1.00)/(1.00-.500)] + .(.5) [(.720 – .270)/(.720-0)] + (.1)[(.58-0)/(.58 – 0)]

Which is

0 + .3125 + .1

or

.4125

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For Alternative B and p = 2

(((.4) [(1.00-.800)/(1.00-.500)])2 + ((.5) [(.720 – .720)/(.720-0)])2 + ((.1)[(.58-.58)/(.58 – 0))2])1/2

Which is

.1600 + 0 + 0

or

.1600

For Alternative C and p = 1

(.4) [(1.00-.500)/(1.00-.500)] + .(.5) [(.720 – 0)/(.720-0)] + (.1)[(.58-.200)/(.58 – 0)]

Which is

.4 + .5 + .655

or

1.555

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ResultsResults

Alternatives CP metric

A .4120

B .1600

C 1.555

Therefore since B is the lowest value (closest to the ideal values across all the criteria, it would be the preferred alternative for the weights and when p = 1

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Solving the CP modelSolving the CP model

• The preferred alternative has the minimum Lp distance value for each p and weight set that may be used. Thus, the alternative with the lowest value for the Lp metric will be the best compromise solution because it is the nearest solution with respect to the ideal point.

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CP advantagesCP advantages

• Simple conceptual structure• Simplicity makes it particularly useful for

spatial decision problems in which decision makers tend to rely on their intuition and insight

• The set of preferred compromise solutions can be ordered between the extreme criterion outcomes – (consequently, an implicit trade-off between criteria

can be performed)

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CP limitationCP limitation

• Except at the two extremes where p = 0 and p = oo there is no clear interpretation of the various values of the parameter p.

• Therefore, use different weights or values for p to test overall robustness of results

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ArcGIS CP ExtensionArcGIS CP Extension

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Questions / Comments?Questions / Comments?