A Novel Axial-Distance-Based Aggregated Measurement (ADAM) Method for the Evaluation of Agri-Food Circular-Economy-Based Business Models

Abstract

Multicriteria decision making (MCDM) is a field that helps decision makers evaluate alternatives based on multiple criteria and encompasses scoring, distance-based, pairwise comparison, and outranking methods. Recent developments have aimed to solve specific problems and overcoming the limitations of previous methods. This paper proposes a new axial-distance-based aggregated measurement (ADAM) method, which is used in combination with the best-worst method (BWM) to evaluate agri-food circular economy (CE)-based business models (BMs) to create a more sustainable and efficient system for producing and consuming food. This paper proposes nine BMs, which were evaluated against eight criteria. The BWM method was used to obtain the criteria weights, while the ADAM method was used to obtain a final ranking of the BMs. The results indicate that a sustainable circular agri-food supply chain is a BM that can bring companies the most significant progress in business and strengthen their position in the market. We concluded that the ADAM method is effective for solving MCDM problems and that, overall, the model is an effective tool for solving the problem defined in this study. The main contributions are the development of a new MCDM method and a hybrid model, the establishment of the framework for evaluation and selection of CE-based BMs, and the identification of the most important ones.

Keywords

• multicriteria decision-making (MCDM)
• axial distance-based aggregated measurement (ADAM)
• best-worst method (BWM)
• circular economy (CE)
• business model (BM)
• agri-food