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The document outlines the Analytic Hierarchy Process (AHP), a structured technique for organizing and analyzing complex decisions, developed by Thomas L. Saaty. It details the steps involved in implementing AHP, including developing a hierarchical structure, determining relative weights, and making final decisions based on comparisons. The document also discusses the pros and cons of AHP and provides examples of its applications in various decision-making scenarios.

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oludeadeola67
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4 views

Copy of Copy of SSG 311_Module 2_Analytic Hierarchy Process (1)

The document outlines the Analytic Hierarchy Process (AHP), a structured technique for organizing and analyzing complex decisions, developed by Thomas L. Saaty. It details the steps involved in implementing AHP, including developing a hierarchical structure, determining relative weights, and making final decisions based on comparisons. The document also discusses the pros and cons of AHP and provides examples of its applications in various decision-making scenarios.

Uploaded by

oludeadeola67
Copyright
© © All Rights Reserved
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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SSG 311:

Mathematical
Modelling for
Artificial Intelligence
Systems

MODULE 2
Analytic Hierarchy Process
Intended Learning Outcomes
At the end of this course, you should be able to do the
following:
1. Know what a decision system is
2. Know what AHP is
3. Understand why AHP is important in their daily activity
4. Know the various steps involve in an AHP system
5. Implement AHP in manufacturing system
Table of Content

What is AHP
General Idea
Example:
Ranking Scale for Criteria and Alternatives
Pros and Cons of AHP

3
Analytic Hierarchy Process(AHP)

The Analytic Hierarchy Process (AHP) is a structured


technique for organizing and analyzing complex decisions.

It is a practical approach to solving complex decision problems


involving the comparisons of attributes or alternatives.

It was developed by Thomas L. Saaty in the 1970s.


Application in group decision making.
4
Analytic Hierarchy Process (Cont.)

AHP states that if you have a decision problem there is one


thing that is obvious (i.e. you have choices or alternatives),
hence you need to know the contributory factors, you need to
arrange your problems in hierarchical form, compare your
factor two at a time, compare the attributes and the alternatives
with respect to attributes two at a time, at the end you get the
global view.

5
Application of AHP

Wide range of applications exists:


◦ Selecting a car for purchasing
◦ Deciding upon a place to visit for vacation
◦ Deciding upon an MBA program after graduation.
◦ Deciding upon the best overall decision.

6
General Idea

AHP algorithm is basically composed of two steps:


1. Determine the relative weights of the decision criteria
2. Determine the relative rankings (priorities) of alternatives

Both qualitative and quantitative information can be compared


by using informed judgments to derive weights and priorities.

7
Steps for AHP
1. Develop the hierarchical structure for the decision problem.
2. Determine the relative weights of each alternative with
respect to the characteristics and sub characteristics in the
hierarchy.
3. Determine the overall priority score of each alternative.
4. Determine the indicators of consistency in making pair wise
comparisons of the characteristics and alternative.
5. Make a final decision based on the result.
8
Hierarchical Steps for decision and
alternatives
Objective

Several
Attribute A Attribute B Attribute C layers of
attributes
One layer of
Alternative 1 Alternative 2 alternative

Compare the attributes two at a time with respect to the objective.


Compare the alternative with respect to to each9other.
Ranking Scale for Criteria and Alternatives

10
FLOW CHART OF AHP METHODOLOGY

Specify Objective

Identify Alternatives

Identify Relevant Factors

Develop or Revise matrix of


pair wise comparison of factors

Compute Normalised Relative


weights of Factors

Compute consistency Ratio of


pair wise comparison of factors

NO
Is 0<Ratio<0.01?

A
A

Develop or Revise matrix of pair wise


comparison of Alternatives with respect to
factors

Compute consistency Ratio of pair wise


comparison Alternative Select Next Factor

NO
Is 0<Ratio<0.01?

YES
Have the Alternatives been compared with NO
respect to all factors?

YES
Compare overall Desirability weight of
each Alternative

12
Select Best Alternative
13
14
15
Knowledge and historical data is required.

Attributes
A B C
Attributes A 1 XAB XAC

B XBA=1/XAB 1 XBC

C 1/XAC 1 /XBC 1

16
If CR < 0.10, the Rankings are consistent.
If CR >= 0.10 , the comparisons should be recalculated.
Random Consistency Index
(RI)

25
Which design?
Material Cost (C ) (comparison matrix)
Plate Welds Plate Rivets Casting
Plate Welds 1 1 0.33
Plate Rivets 1 1 0.33
Casting 3 3 1
Sum 5 5 1.667
Normalized C
Plate Welds Plate Rivets Casting P
Plate Welds 0.2 0.2 0.2 0.2
Plate Rivets 0.2 0.2 0.2 0.2
Casting 0.6 0.6 0.6
26 0.6
where P is Design Alternative Priorities
Weighted Sum (W or P*C)

1 1 0.33 0.2 0.6


1 1 0.33 0.2 0.6
3 3 1 0.6 1.8

Ws * 1/W

0.6 5 3
0.6 5 3
1.8 1.67 3

CI= (3-3) /2=0


27
CR= (0/0.58) = 0
Final Rating Matrix
Transpose the final rating matrix

29
This can be represented graphically
0.6

0.5

0.4

0.3
Series1

0.2

0.1

0
Welds Rivets Casting 30
More about AHP: Pros and Cons
• It allows multi criteria decision making.

• It is applicable when it is difficult to formulate criteria


evaluations, i.e., it allows qualitative evaluation as well as
Pros quantitative evaluation.

• It is applicable for group decision making environments

•There are hidden assumptions like consistency.


Repeating evaluations is cumbersome.

• Difficult to use when the number of criteria or


alternatives is high, i.e., more than 7.
Cons

•Difficult to add a new criterion or alternative

• Difficult to take out an existing criterion or alternative,


since the best alternative might differ if the worst one is
excluded. 31
GROUP PROJECT

As the presidential adviser, “Using AHP, advice the federal


government on how to go about managing the present
economic situation such that the masses will not be affected
negatively (for instance the removal of subsidy, the increase in
prices of commodities and inflation)

THIS PROJECT WILL BE PRESENTED ON THE 4TH OF DECEMBER


2023.
32
ASSIGNMENT - ALL
USING AHP METHODOLOGY, DESIGN HOW YOU MAKE YOUR CHOICE IN THE FOLLOWING
PROBLEMS:
1. WETHER TO TAKE UP YOUR SIWES INTERN WITH A SOFTWARE COMPANY
2. WETHER TO TAKE UP TEACHING APPOINTMENT WITH FEDERAL GOVERNMENT AS
A CAREER

33
REFERENCE
Expert Systems Applications in Engineering and Manufacturing by Adedeji
B. Badiru, 1992. Prentice Hall, pp. 36 – 55
Analytic Hierarchy Process for Project selection by Indian Institute of
Technology Kanpur. Prof. Raghunanda Sengupta

34

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