Models & Methods for Project Selection pp 41-64 | Cite as
Choosing the Best Solution in a Project Selection Problem with Multiple Objectives
Abstract
Chapters 1 and 3 presented multiobjective models for the project selection problem. In multiobjective problems it is not uncommon that solution methodologies produce a large number of nondominated alternatives. The decision maker is then left with the difficult task of choosing from this set. In the prior chapters we noted that methods are available to aid the decision maker with this task. In this chapter we return to this issue and present a detailed technical discussion of five methods for assisting the decision maker in this choice by reducing the set of all nondominated solutions to a manageable number. The last method we present uses stochastic techniques to eliminate solutions which exhibit too much risk, leaving only a potentially small number of solutions with acceptable risk characteristics. In project selection problems risk is often a primary concern. We will return to the discussion of risk in later chapters.
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