Risk-Oriented Assessment Model for Project Bidding Selection in Construction Industry of Pakistan Based on Fuzzy AHP and TOPSIS Methods
Risk management for the selection of complex multiple projects during the bidding process is one of the most significant problem in construction industries all over the world. This article develops an evaluation model based on fuzzy set theory, analytical hierarchy process (AHP) and the technique for order performance by similarity to ideal solution (TOPSIS) methods. The criteria weight is achieved by adopting Fuzzy set theory and Analytical Hierarchy Process (AHP). Then, with the minimized risk as the objective, the technique for order performance by similarity to ideal solution (TOPSIS) is applied to determine the final ranking level of the bidding projects according to their closeness coefficient. Finally, a real world application of National Construction Limited (NCL), a largest government oriented company of Pakistan, is conducted to demonstrate the utilization of the proposed model. The results indicate that the proposed model is feasible for risk assessment of project bidding selection in construction industry.
KeywordsRisk management Multi-projects selection Criteria weights Fuzzy set Fuzzy TOPSIS
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