Utility function-based generalization of sum of ranking differences–country-wise analysis of greenhouse gas emissions

Abstract

The utility function-based sum of ranking differences (uSRD) method is proposed as a utility function-based multi-criteria decision analysis tool. Our idea is that the transformation functions can be represented by a utility function that can be aggregated with multi-attribute utility functions. We present a framework incorporating utility values as the basis for three different but interconnected analyses. The exemplary application focuses on greenhouse gas emissions and economic indicators of 147 countries. First, the uSRD is applied to the utility values to uncover the hidden relationships of the 40 indicators. A ranking of countries is established to see which sample performs the best and the worst in both emissions and economy. Lastly, mitigation actions are delegated to countries through a three-stage assignment that connects emissions to utilities, sectors, and mitigation actions. The results show that the uSRD excels as a support tool for decision-making.

Keywords

• Sum of ranking differences
• Greenhouse gas emissions ranking
• Data transformation and aggregation
• Multi-attribute utility
• Multi-criteria decision-making
• Derringer desirability function