CHAPTER 15

DEALING WITH
MULTIATTRIBUTED DECISIONS
 MULTIATTRIBUTED DESCIONS
Decision making includes both monetary
and nonmonetary considerations
(attributes).

Value (as conceived by Aristotle in

350 B.C.) includes: (1) economic
(2) moral (3) aesthetic (4) social (5) political
(6) religious (7) judicial.
 EXAMPLES OF
MULTIATTRIBUTED DECISIONS
Selection of 1st permanent professional job
by an engineering graduate
(insert Table 15-1)
 EXAMPLES OF
MULTIATTRIBUTED DECISIONS
Selection of a CAD workstation
(insert Table 15-2)
 CHOICE OF ATTRIBUTES
Each attribute distinguishes at least two alternatives

Each attribute captures a unique dimension or facet of the

decision problem (i.e., attributes are independent and
nonredundant

Attributes, in a collective sense, are assumed to be

sufficient for the purpose of selecting the best alternative

Differences in values assigned to each attribute are

presumed to be meaningful in distinguishing among
feasible alternatives
DIMENSIONALITY OF THE PROBLEM

Compensatory models collapses all

information into a single dimension
changes in the values of a particular
attribute can be offset, or traded off
against, opposing changes in another
attribute
Noncompensatory models retain the
individuality of the attributes as the best
alternative is being determined full
dimensional analysis trade-offs among
attributes are not permitted
 NONCOMPENSATORY MODELS

Dominance
Satisficing
Disjunctive Resolution
Lexicography
 NONCOMPENSATORY MODELS
Dominance screening method for eliminating inferior
alternatives

Satisficing method of feasible ranges establishes

minimum or maximum acceptable values (the
standard) for each attribute

Disjunctive Resolution similar to satisficing, except

this method evaluates each alternative on the best
value achieved for any attribute

Lexicography especially suitable for decisions in

which a single attribute is judged more important than
all other attributes
 NONCOMPENSATORY MODELS -
Example

Selection of a dentist
(insert Table 15-3)
 NONCOMPENSATORY MODELS
Dentist Example

Dominance
(insert Table 15-4)
 NONCOMPENSATORY MODELS
Dentist Example

Satisficing
(insert Table 15-5)
 NONCOMPENSATORY MODELS
Dentist Example

Ordinal Ranking of Attributes

(insert Table 15-6)
 NONCOMPENSATORY MODELS
Dentist Example

Lexicography
(insert Table 15-7)
 COMPENSATORY MODELS

Basic principle behind all compensatory

models, which involve a single
dimension, is that values for all
attributes must be converted to a
common measurement scale such as
dollars or utiles.

A utile is a dimensionless unit of worth.

 COMPENSATORY MODELS
Dentist Example
Nondimensional Scaling
(insert Table 15-8)
 COMPENSATORY MODELS
Dentist Example
Nondimensional Data
(insert Table 15-9)
 COMPENSATORY MODELS
Dentist Example
Hurwicz Procedure
(insert Table 15-10)
 COMPENSATORY MODELS
Dentist Example
Hurwicz Procedure
(insert Table 15-11)
 COMPENSATORY MODELS
Dentist Example
Additive Weighting Technique
(insert Table 15-1)
 COMPENSATORY MODELS
Worth of Material
Additive Weighting Technique
(insert Table 15-13)
 COMPENSATORY MODELS
Worth of Material
Additive Weighting Technique
(insert Tables 15-14 and 15-15)
 SUMMARY
Insert section 15.8