Analytic Hierarchy Process

Presented by Gueddouche Roumaissa

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Motivation - 1
 In our complex world , we are forced to cope with more
problems than we have the resources to handle.

 The AHP provides such a framework that enables us to

make effective decisions on complex issues by
simplifying and expediting our natural decision-making
processes.

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Introduction
 The analytic hierarchy process (AHP) was developed by
Thomas L. Saaty.
 Saaty, T.L., The Analytic Hierarchy Process, New York:
McGraw-Hill, 1980
 The AHP is designed to solve complex problems involving
multiple criteria.

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Major Steps of AHP
1) To develop a graphical representation of the problem

2) To specify his/her judgments about the relative importance of

each criterion

3) To indicate a preference or priority for each decision

alternative.

4) a mathematical process is used to synthesize the information

(including consistency checking) and provide a priority
ranking of all alternatives .

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Application

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1-Hierarchy Development

Overall Goal: Select the Best Car

Criteria: Price MPG Comfort Style

Decision Car A Car A Car A Car A

Alternatives:
Car B Car B Car B Car B
Car C Car C Car C Car C

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2-Pairwise Comparisons
 The AHP employs an underlying scale with values from 1 to 9
to rate the relative preferences for two items.
Verbal Judgment of Preference Numerical
Rating
Extremely preferred 9
Very strongly to extremely preferred 8
Very strongly preferred 7
Strongly to very strongly preferred 6
Strongly preferred 5
Moderately to strongly preferred 4
Moderately preferred 3
Equally to moderately preferred 2
Equally preferred 1
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 criteria comparisons

Initial Matrice
normalization
criterion price MPG Comfort Style Average

Price 0,433 0,255 0,380 0,533 0,400

MPG 0,143 0,083 0,047 0,066 0,084

comfort 0,333 0,333 0,190 0,133 0,245

0,299
Style 0,215 0,333 0,388 0,266
Vector B
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 Procedure: Estimating Consistency Ratio
λ max  n
Compute the consistency index (CI): CI  n  1

n : is the number of items being compared

Compute the consistency ratio (CR): CR  CI <10%

RI

Vector C =Initial Matrice x Vector B

Vector C = x

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λ max = moy(Vector D) 4.25  6  3.33  4.33
λ max   4.48
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λ max  n 4.48  4
CI    0.16
n 1 4 -1

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consistency ratio (CR):
RI depends on the number of elements being compared (i.e., size of
pairwise comparison matrix) and takes on the following values:

n 1 2 3 4 5 6 7 8 9 10

RI 0.00 0.00 0.58 0.90 1.12 1.24 1.32 1.41 1.45 1.49

CI 0.16
CR    0.177
RI 0.90

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pairwise comparison matrices
Comfort Car A Car B Car C Price Car A Car B Car C
Car A 1 2 8 Car A 1 1/3 ¼
Car B 1/2 1 6 Car B 3 1 ½
Car C 1/8 1/6 1 Car C 4 2 1

MPG Car A Car B Car C Style Car A Car B Car C

Car A 1 1/4 1/6 Car A 1 1/3 4
Car B 4 1 1/3 Car B 3 1 7
Car C 6 3 1 Car C 1/4 1/7 1

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Example: Priority Ranking – 0B
Calculate priority vector for each matrix.

Price MPG Comfort Style

Car A 0.123  0.087  0.593 0.265

0.320  0.274  0.341 0.655
Car B        
Car C 0.557  0.639  0.066 0.080

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 Priority Ranking
Overall car A priority  0.398 (0.123)  0.085 (0.087)  0.218 (0.593)  0.299 (0.265)  0.265

Rank the priority values.

Alternative Priority
Car B 0.421
Car C 0.314
Car A 0.265
Total 1.000

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realization With software: Expert Decision
Expert Decision software is a multi-purpose
decision support tool based on (AHP).

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