The three criterial euclidean ranking method and its use for a multicriterial comparison of alternatives

Abstract

There is description of the TOPSIS method for ranking alternatives and the results of its analysis. It is shown that the well-known TOPSIS method has a drawback associated with the influence of the compensation effect on the ranking results of alternatives. It is indicated that in the VIKOR and MOORA methods an additional indicator is used to reduce the influence of this effect. Accordingly, the combination of the TOPSIS method and the approach used in the VIKOR and MOORA methods allows us to propose a new method - the three-criteria Euclidean ranking method, which will increase the validity of the results by increasing the completeness of the comparison of alternatives and reducing the effects of the compensation effect on them. For this new method, there are given formulaic dependencies, and it is also given a step-by-step description of the procedure for performing calculations. The possibility of practical use of the proposed method is shown in computational exampl for which the obtained results using the well-known multi-criteria methods are given in the literature. Comparison of the calculations results obtained by using known and new methods suggests that using the proposed method in combination with other methods can increase the validity of the recommendations or find perspective alternatives that have not been identified by other methods. These results allow us to conclude that the application of the developed three-criteria Euclidean ranking method can be quite perspective for multi-criteria optimization of complex objects.

Keywords

• multi-criteria decision making
• the three-criteria euclidean ranking method
• topsis method
• vikor method
• moora method