MODERN DECISION-MAKING MECHANISM IN THE PROCESS OF DEVELOPMENT OF SMALL FARMS

Abstract

The use of multi-criteria decision-making methods can contribute to finding the most rational solution more easily and efficiently. The purpose of the research is to investigate the applicability of the PROMETHEE and TOPSIS methods at the level of family farms and their comparative analysis in the case of the purchase of agricultural mechanization. Both methods start from a set of criteria established based on the subjective expectations of 48 farmers (decision makers) who were asked to choose the decision criteria. Then, mathematical models are used to determine the most suitable choice for the farm. Based on the research findings, it can be concluded that applying both methods in parallel leads to similar outcomes. Although decision support systems can be instrumental in making the right decisions, their usage is still not widely adopted in family farms due to the challenges of introducing new solutions in a production setting.

Keywords

• Promethee Method
• Topsis Method
• Agricultural Mechanization
• Serbian market