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Artificial Intelligence in Stochastic Multiple Criteria Decision Making

Artificial Intelligence in Stochastic Multiple Criteria Decision Making
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Author(s): Hanna Sawicka (Poznan University of Technology, Poland)
Copyright: 2017
Pages: 26
Source title: Handbook of Research on Advanced Data Mining Techniques and Applications for Business Intelligence
Source Author(s)/Editor(s): Shrawan Kumar Trivedi (BML Munjal University, India), Shubhamoy Dey (Indian Institute of Management, Indore, India), Anil Kumar (BML Munjal University, India)and Tapan Kumar Panda (Jindal Global Business School, India)
DOI: 10.4018/978-1-5225-2031-3.ch019

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Abstract

This chapter presents the concept of stochastic multiple criteria decision making (MCDM) method to solve complex ranking decision problems. This approach is composed of three main areas of research, i.e. classical MCDM, probability theory and classification method. The most important steps of the idea are characterized and specific features of the applied methods are briefly presented. The application of Electre III combined with probability theory, and Promethee II combined with Bayes classifier are described in details. Two case studies of stochastic multiple criteria decision making are presented. The first one shows the distribution system of electrotechnical products, composed of 24 distribution centers (DC), while the core business of the second one is the production and warehousing of pharmaceutical products. Based on the application of presented stochastic MCDM method, different ways of improvements of these complex systems are proposed and the final i.e. the best paths of changes are recommended.

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