AHP Final Report - This in a work on Analytical Hierarchy Process and its application in real life PDF

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This in a work on Analytical Hierarchy Process and its application in real life...

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ABSTRACT

The analytic hierarchy process (AHP) is a structured technique for organizing and analysing complex decisions, based on mathematics and psychology. Some of the important areas where one should focus while setting up a steel industry are transportation, government laws, labour cost, infrastructure (power supply) and importantly weather raw materials can be brought upto that area in an efficient and cost effective way. This selection is a difficult problem involving quantitative and qualitative aspects. A trade-off between these tangible and intangible factors is necessary in selecting the preferred place. The work uses AHP technique in selecting the best suitable area for the proposed plant. The result suggests that AHP process makes it easy to find the optimum cost among the selected places so that the total amount of raw materials increases which results in better and timely production. In this work, a AHP based area selection model is formulated and applied to a real case study. The proposed model shows that it can be applied to improve and assist decision making to resolve the area selection problem. The works represents the systematic criteria for area selection process. In addition, the result exhibit the application of multi criteria decision model for evaluation and selection of area with the proposed AHP model.

CHAPTER 1

INTRODUCTION

1. INTRODUCTION : In this case study we need to find out a suitable place around Bhubaneswar for setting up a steel product industry. For this we choose three places where there is possibility of setting up the required industry . From among the three places we need to find out the best suitable place for the purpose. For this we take the help of Analytical Hierarchy Process.

In bunch of supplier it's difficult to make a decision which one is most efficient . The selection is based on different criteria such as price, distance, production speed, lead time and etc.. . Similarly in industrial engineering applications the final decision is taken after the evaluation of a number of alternatives in terms of different types of criteria. This problem may become a very difficult one when the criteria are expressed in different units. Since a qualified supplier is a key element and a good resource for a buyer in reducing such costs, evaluation and election of the potential suppliers has become an important component of supply chain management .

The Analytic Hierarchy Process (AHP), introduced by Thomas Saaty (1980). It is a very efficient tool for handling complex decision making, and also help the decision maker to set priorities and select the best alternative. By reducing complex decisions to a series of pair wise comparisons, and then synthesizing the results, the AHP helps to capture both subjective and objective aspects of a decision. In addition, the AHP uses a very efficient technique for checking the consistency of the decision maker’s evaluations, thus reducing the bias in the decision making process.

CHAPTER 2 :

LITERATURE

2.LITERATURE

Tian Bian, Jiantao Hu and Yong Deng (August 2016). Identifying influential nodes in complex networks based on AHP-AHP as a multiple attribute decision making (MADM) technique has become an important branch of decision making in networking.AHP is used to aggregate the multi-attribute to obtain the evaluation of the influence of each node. Every measure has its own disadvantages and limitations, thus we consider several different measures as the multi-attribute of complex network in AHP application.The global structure and local information in complex networks are both taken into consideration to identify influential nodes.The proposed method can rank identify influential nodes accurately.

Wenhua Li, Suihuai Yu, Huining Pei, Chuan Zhao and Baozhen Tian (March 2016)A hybrid approach based on fuzzy AHP and 2-tuple fuzzy linguistic method for evaluation in-flight service quality-The in-flight service is one of the most important parts in the whole air travel service process. In order to better understand the passengers' preference and obtain their perception for service quality, the article proposed a hybrid approach based on fuzzy AHP and 2-tuple fuzzy linguistic method to evaluate in-flight service quality. Fuzzy AHP is used to analyze the structure of the in-flight service evaluation problem. The ratings of the sub-criteria are explored in deterministic values to express the nature of passengers' subjective behaviour, and then the deterministic values are transformed into 2-tuples and the 2-tuple deterministic arithmetic mean operator is used to obtain the average ratings of 100 respondents. Using the 2-tuple deterministic weighted average operator to compute the averaged ratings of criteria and the performance overall in-flight service quality of alternatives. Finally, the validation and feasibility of the proposed approach by conducting an application study of the comprehensive performance of in flight service was demonstrated.

Sonal Sindhu, Vijay Nehra and Sunil Luthra (June 2016) . Nowadays, challenges such as limitation of fossil fuels, environmental pollution, importance of energy-mix diversification, and possibility of earning more value from fossil resources have encouraged governments all over the world to promote the renewable energy. Government of India is taking various majors to improvise the use of solar emery.So, for the solar plant the different criteria which decide the location as per the expert opinion aresocial, technical, economic, environmental and political aspects. For a appropriate site selection a hybrid

combination of two Multi

Criteria Evaluation (MCE) methods- Analytical Hierarchical Process (AHP) and fuzzy Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) are used. As the result reveal that Sonepat is the best location followed by Rohtak, Chandigarh, Gurgaon and Hisar in state of Haryana. This imply that using AHP for a decision making is effective, efficient and systematic.

Bekir Sahin and Tsz Leung Yip (15 May 2016) .Fuzzy set theory is use to provide result for diverse and rough amount of information . It is quite an efficient tool in line of engineering , management and business field . The drawbacks of fuzzy set theory are in decision making problems are solved by using FAHP method an evolved version of AHP. Mostly triangular and trapezoidal FAHP method are preferred but come up with the problem such as 1. The first fuzzy number is completely eliminated and its weight is over others is 0 2. If only one fuzzy number equals to 1, others are wrongly weighted as 0 So to eliminate the zero weight problem Gaussian fuzzy number(IG-FAHP) is introduced realizing the real intersection between fuzzy numbers .IG-FAHP also use standard consistency control mechanism for whole model and direct numerical input . It's proven by experts that IG-FAHP give more realistic and accurate result as compeered with FAHP, when studying of shipping technology selection process.

Xinyi Zhou, Xinyang Deng, Yong Deng and Sankaran Mahadevan (March 2017) . Human reliability analysis (HAR) is a systematic framework of the human contribution risk. HAR nowadays got lots of attention due to the accident caused by the human error, and while talking about the nuclear engineering. HAR is at high priority as it involves high risks. Many research are done while still have improvement space. Many study are done on Dependence assessment of HAR since it is an important issue. It is more effective and efficient to know the cause of the accident,improving the understanding of human errors. Due to characteristics of linguistic assessment two problem are occurred 1. The fuzziness of linguistic scales. 2. The subjectivity of expert evaluations. to overcome this issues D number theory whichgives the framework with nonexclusive hypotheses and provides the rule of combination as well, which takes the fuzziness of linguistic scales and the subjectivity of expert evaluations into account. Then it followed by the AHP. Dependence assessment model based on D numbers and AHP proposed method is use to address the fuzziness and subjectivity in linguistic assessment. Hence, the method is well applicable to assess the dependence degree of human errors in HRA which inherently has a linguistic assessment process.

Tiago Hillerman, João Carlos F. Souza, Ana Carla B. Reis and Rommel N. Carvalho (March 2107). Applying clustering and AHP methods for evaluating suspect healthcare claims-AHP serves as a tool for the analysis of suspicious claims data from healthcare providers effectively and objectively ranking these entities for further investigation.Cluster analysis (CA) is a statistical technique that helps reveal hidden structures by grouping entities or objects with similar characteristics into homogenous groups while maximizing heterogeneity across groups. For prioritising investigations AHP has many advantages over other method in which audits are ranked primarily according to their payment amount.AHP has also been used in order to classify red flags in order of intensity, facilitating.More recently, it has been applied in a manufacturing context, in order to more efficiently direct the efforts of investigative units to the most

probable cases of internal fraud the assessment of management fraud. More recently, it has been applied [31] in a manufacturing context, in order to more efficiently direct the efforts of investigative units to the most probable cases of internal fraud.

Oluwarotimi Williams Samuel (February 017). An integrated decision support system based on ANN and Fuzzy AHP for the prediction heart failure risk.- An integrated decision support system comprised of both ANN and Fuzzy AHP is proposed in order to efficiently predict HF risks in patients.Firstly, Fuzzy AHP was used to rank and determine the local weights of HF attributes and the global weights for a set of given attributes, where the individual contribution of each attribute was determined by an experienced cardiac clinician.Next, the global weights that represent the contributions of the attributes were applied to train an ANN classifier for the prediction of HF risks in patients . The performance of the method (ANN and Fuzzy AHP) was assessed by using an online clinical dataset obtained from the patients with a potential HF disease. The ANN and Fuzzy AHP hybrid method would most likely perform better than the conventional ANN approach.

Asmita Pandey and Amit Kumar(February 2017) . Evaluation of human recourse for science and technology through integration of fuzzy AHP and fuzzy DEMATEL.- Chou et al. proposed the idea for using the combination of the Analytical Hierarchy Process and Decision making trail and Evaluation Laboratory for finding the values in the Human Resource for Science and Technology.Furthermore, the Chou et al explained how the HRST was beneficial for portraying the country’s economic growth, therefore comparing the values with other countries.For applying the DEMATEL the multiplicative of the given matrix have to be obtained.But according to a report not always does the method obtained by the Chou et al. i.e by obtaining the multiplicative to the given matrix is valid. Hence the Chou et al. is not valid.But this

problem can be resolved by another method known as the Dehghan et al. which gives the right way to calculate the multiplicative of the matrix.

Ali Kokangül, Ulviye Polat and Cansu Dağsuyu (January 2107). Calculating risk management During contraction using AHP and Fine Kinney methodologies. The assessment test is considered the most essential and crucial stage in the field of safety and health, were the flaws are identified and taken care of. Fine Kinney is the most used for this practice.Analytical Hierarchy Process is another important parameter for determining the flaws and studying about them in this line.AHP can be considered important for the risks management. Classification of the risks are done after the proper assessment and then control precautions are performed.The use of AHP is highly recommended as the risk differs with the work environment and the determined quantity.

Seyit Ali Erdogan, Jonas Šaparauska and Zenonas Turskis(2017). Prospectus of decision making in construction. The two most important factors that are considered for the development of construction industry for years is Management and Technology.One of the most important or essential question that arises is the selection of the contractor (a lot of things are considered under it but the main is to check out the longterm value).The selection process of the contractor will be analysed according to the multi-criteria method.Basic parameters have to be considered before the selection of the contractor i.e. like the past experience, safety record, qualification, quantity etc.Certain points should be marked before the selection of the Contractor.All the contractors on the list must be identified and analysed.The factors crucial and are important about the project and the contractor should be identified. A proper criterion should be set up for comparing the qualities of the contractors should be made.Criteria weight should be clarified.Each weight should be analysed properly with the help of a computer and the selection must be completed.

H.M.M.M. Jayawickrama, A.K. Kulatunga and S. Mathavan (2017) . Plant sustainability has earned much importance in the field of manufacturing field which led to the development of generic methodologies for plant sustainability evaluation. Rather than focusing on social domain much importance has been given to the environment and economic aspect. When taken into account qualitative and quantitative factors it is rare to find generic methodologies are capable of detailed analysis. And this paper shows a generic model to evaluate manufacturing plant sustainability using Fuzzy Analytic Hieratical Process (AHP). And to convert the qualitative judgment into evaluable number Fuzzy logic has been used.

Bima Anjasmoro, Suharyanto and Sri Sangkawati (2017) .Since the government has very less funding source it is needed to select the small dams which can be completed in limited budget. But the study shows that Semarang District has the potential of 8 small dams, which must be constructed within 5 years due to water shortage. The method used in this study is Cluster Analysis. However, AHP method was more suitable than Cluster Analysis based on the order of priority.

Julia Szulecka and Elizabeth Monges Zalazar (January 2017). In the past century, there has been a massive deforestation in Paraguay. This paper examines why Paraguay has restricted forest plantation as they are facing wood shortage. Thirty six specific factors has been established for the small and large scale plantations. The analysis reveals strength, weakness, opportunities and threats for the plantation types, which shows that small scale plantation has more strength that large scale plantations. Major steps are taken to expand the forest plantation in Paraguay which is focusing on forestry, political, institutional and intersectional issues.

Qingxing Dong and Orrin Cooper(December 2016) . Framework of supply chain risk assessment using AHP-In the current business scenario, a need of comparison between tangible and intangible elements influencing supply chain risk management is highly needed. OM-AHP is the proposed solution to it. It's application consists of 3 phases- risk identification, risk assessment and risk ranking and analysis. The outcomes are organized in a 2-way matrix depending on their consequence severity and probability and later it is tested for its robustness.

Sylvain Kubler (15 December 2016). Art survey and testbed of fuzzy AHP applications. Fuzzy AHP(FAHP) has been applied to a wide range of applications, carried out in a literature review of 190 application papers in forms of various tabular formats and charts to help readers extract quick and meaningful information. The areas of applications of FAHP includes-(i)Manufacturing, Industry and Government Sectors (ii)In theme areas of Selection and Evaluation(iii)Combining it with TOPSIS, QFD and ANP (iv)Chang's extent analysis method.

Ye Duan, Hailin Mu, Nan Li, Linlin Li and Zhaoquan Xue (December 2016). Case Study: Research and evaluation of Low Carbon Economy Development Level Based on AHP - Entropy method .The evaluation system of low carbon economy development level on Dalian is built based on AHP-Entropy method. A comprehensive study says that it showed certain improvements initially with little ups and downs in the progress of development but the government should be alert because later it might increase after reaching the minimum.

Ömer Faruk Gürcan, İbrahim Yazıcı, Ömer Faruk Beyca, Çiğdem Yavuz Arslan and Fahrettin Eldemir (24 November 2016). Third Party Logistics (3PL) Provider Selection with AHP Application- Contemporarily, globalization causes increase in competitions and this fact leads the companies having to focus on their specialties in order to gain competitive advantage. In today's market conditions, the decision making process

has become more complicated due to improvements in options, targets and environmental conditions parallel to technology. The dependency of the companies to a single firm is no longer the case and the selection of the most suitable firm has become more complicated. The third party logistic (3PL) provider selection problem was modelled by one of the most frequently used multi criteria decision making method, AHP, which takes into account both tangible and intangible criteria. As a result of AHP, best alternative for 3PL provider is determined

D. Carfora, G. Di Gironimo, G. Esposito, K. Huhtala, T. Määttä, H. Mäkinen, G. Miccichè and R. Mozzillo (15 November 2016) . Using an AHP approach selecting an appropriate design of divertor remote maintainers port in EU DEMO. Its aim is generating hundred of MW electric energy for that the most efficient design of the maintenance port

is needed to replace the divertor cassettes in a Remote

Handling(RH) view. The most important consideration in designing were availability and short down time operations, inclination of the divertor port. Since , the polarization of concept alternatives for the most satisfactory design the technique of multi-criteria decision making approach is used in which the factors that are important in making a decision are arranged in a hierarchic structure . The various criteria which are considered in designing were Tokamak impact, remote handling equipment (RHE) impact, RH operations and Failure recovery. AHP allowed prioritizing alternatives basing on several design criteria that were prioritized as well this help to improve and focus the selection of the most appropriate technical design.

Soleiman Foroughi and Mezgeen Abdulrahman Rasol

(December 2016) Housing is the most basic

requirement of the human community and renovation of housing insure the ongoing of quality and standard of living which required institution of urban city planner and managers. The major challenges faced in renovation are erosion caused to urban fabric and efficiency of use and cost which are a complex affair. The category of measures are urban revitalization, adaptation, updating, conversion, transformation,

conservation, renewal, restoration and repair. The cause study of Zanjan help to understand the statistical population using descriptive, analytical workshops and field methods as well as using census method, and utilizes AHP and Idrisi, Arch GIS data to determine statistically 1385 residential blocks. AHP is use to determine the most suitable location satisfying al criteria and their weight. Then the result is presented to the board range of urban managers.

Obinna Ukeni Akaa, Anthony Abu, Michael Spearpoint and Sonia Giovinazzi (2016) A group-AHP decision analysis for the selection of applied fire pro...