Weighting procedures

Question 1

What is the additive value model?

Answer 1

V(a)=sum(k*v(a))
V - overall value of option a
v - partial value of option a in criterion j
k - weighting coefficients

Question 2

What do weights represent?

Answer 2

Scaling factors
Allow converting partial values to overall values.
Take into account the nature of substitution rates between criteria.
CANNOT be seen as direct indicators of importance.

Question 3

What is the most common critical mistake?

Answer 3

Assuming weights as indicators of the “importance” of the criteria, without considering the range of the performance descriptor scales and importance of those ranges.

Question 4

How do we prevent the critical mistake?

Answer 4

Ranges between the performance reference levels of the criteria are critical to assess the weights. Assessing weights always requires defining two performance reference levels for example: Worst and best
neutral and good
Base and target.

Question 5

Name three common weighting procedures

Answer 5

Swing weighting
Trade off procedure
MACBETH

Question 6

How do you do swing weighting?

Answer 6

1. Rank the swing worst to best by decreasing order.
2. Quantify each swing comparing it with the most attractive swing to which was assigned a weight of 100.
3. Normalize the swing weights so that they sum up to 1.