A Novel Multi-Criteria Decision-Making Model for Building Material Supplier Selection Based on Entropy-AHP Weighted TOPSIS
<p>Research framework and analytic processes of sections and steps.</p> "> Figure 2
<p>Schematic diagram of the hierarchy.</p> "> Figure 3
<p>Hierarchical analysis diagram of this study.</p> "> Figure 4
<p>Comprehensive proximity of supplier alternatives.</p> "> Figure 5
<p>Sensitivity analysis of the facet weight to the outcome of the alternatives. ntropy-AHP TOPSIS vs. AHP-based TOPSIS.</p> "> Figure 5 Cont.
<p>Sensitivity analysis of the facet weight to the outcome of the alternatives. ntropy-AHP TOPSIS vs. AHP-based TOPSIS.</p> ">
Abstract
:1. Introduction
2. Literature Review and Methodology
2.1. Literature Review
2.1.1. Literature on the Application of the Entropy, AHP, and/or TOPSIS Method
2.1.2. Rank Reversals in Decision-Making
- Multi-attribute utility theory (MAUT).
- The TOPSIS method.
- The analytic hierarchy process (AHP) and some of its variants.
- The ELECTRE (outranking) method and its variants.
- The PROMETHEE (outranking) method.
2.2. Entropy Weighted Method
2.2.1. Entropy Weight Principle
2.2.2. Significance and Nature of Entropy Weight Method
- If the values of elements in a column are the same, the maximum entropy is 1, and the entropy weight is 0. On behalf of an indicator, if the data of each evaluation object are the same, the indicator does not contain any valuable information.
- The greater the difference between the values of elements in a column, the smaller the entropy value of the elements in this column and the larger the entropy weight value. It indicates that the indicator has valuable information. Conversely, if the indicator’s entropy value is larger, the smaller its entropy weight and the less important this indicator is.
2.3. AHP Method
2.3.1. The Meaning of AHP
2.3.2. Application of AHP
2.3.3. Steps of AHP Method
2.4. Combination Weighting Method
2.5. Weights for Multi-Criteria Decision Making
3. Construction Steps of Entropy-AHP Weighted TOPSIS
4. Numerical Execution Example of Building Material Supplier Selection
5. Results and Discussion
6. Conclusions
Funding
Conflicts of Interest
References
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R-level | S-level element combination weight | ||||||
Weight | |||||||
S-level | |||||||
⋯ | |||||||
⋮ | |||||||
Main Target | Facet for the First Layer | Facet Weight | Criterion (Indicator) for the Second Layer | Dimension | Indicator Weight | Total Weight |
---|---|---|---|---|---|---|
Suitable supplier selection | Product satisfaction (A) | 0.3916 | A1. Rate of qualified products | positive | 0.4125 | 0.1615 |
A2.Product price (thousand dollars) | negative | 0.3759 | 0.1472 | |||
A3.Rate of Product market share | positive | 0.2116 | 0.0829 | |||
Subtotal | 1 | --- | ||||
Supply innovation capability (B) | 0.2815 | B1.Supply capacity (kg/time) | positive | 0.5293 | 0.1490 | |
B2.New product development rate (%) | positive | 0.4707 | 0.1325 | |||
Subtotal | 1 | --- | ||||
Service level (C) | 0.3269 | C1. Delivery time (days) | negative | 0.3917 | 0.1280 | |
C2. Delivery on time ratio (%) | positive | 0.6083 | 0.1989 | |||
Subtotal | 1 | --- |
Weight Item | Product Satisfaction (A) | Supply Innovation Capability (B) | Service Level (C) |
---|---|---|---|
Entropy weight () | 0.4426 | 0.2592 | 0.2982 |
AHP weight () | 0.3916 | 0.2815 | 0.3269 |
Combination weight () | 0.5042 | 0.2122 | 0.2836 |
Weight Item | Rate of Qualified Products (A1) | Product Price (Thousand Dollars) (A2) | Rate of Product Market Share (A3) | Supply Capacity (kg/ time) (B1) | New Product Development Rate (%) (B2) | Delivery Time (days) (C1) | Delivery on Time Ratio (%) (C2) |
---|---|---|---|---|---|---|---|
Entropy weight () | 0.3862 | 0.2641 | 0.3497 | 0.4658 | 0.5342 | 0.4168 | 0.5832 |
AHP weight ( | 0.4125 | 0.3759 | 0.2116 | 0.5293 | 0.4707 | 0.3917 | 0.6083 |
Combination weight ( | 0.4789 | 0.2985 | 0.2225 | 0.4951 | 0.5049 | 0.3152 | 0.6848 |
Main Target | Facet for the First Layer | Facet Weight | Criterion (indicator) for the Second Layer | Dimension | Indicator Weight | Total Weight (Entropy-AHP ) |
---|---|---|---|---|---|---|
Suitable supplier selection | Product satisfaction (A) | 0.5042 | A1.Rate of qualified products | positive | 0.4790 | 0.2415 |
A2.Product price (thousand dollars) | negative | 0.2985 | 0.1505 | |||
A3.Rate of Product market share | positive | 0.2225 | 0.1122 | |||
Subtotal | 1 | --- | ||||
Supply innovation capability (B) | 0.2122 | B1.Supply capacity (kg/time) | positive | 0.4951 | 0.1051 | |
B2.New product development rate (%) | positive | 0.5049 | 0.1071 | |||
Subtotal | 1 | --- | ||||
Service level © | 0.2836 | C1. Delivery time (days) | negative | 0.3152 | 0.0894 | |
C2. Delivery on time ratio (%) | positive | 0.6848 | 0.1942 | |||
Subtotal | 1 | --- |
Alternatives | |||||
---|---|---|---|---|---|
0.0069 | 0.0149 | 0.0071 | 0.0101 | 0.0138 |
Alternatives | |||||
---|---|---|---|---|---|
0.0123 | 0.0045 | 0.0105 | 0.0116 | 0.0061 |
Alternatives | |||||
---|---|---|---|---|---|
0.6395 | 0.2326 | 0.5946 | 0.5350 | 0.3074 |
Options | |||||
---|---|---|---|---|---|
Rank | 1 | 5 | 2 | 3 | 4 |
MCDM Method | Product Satisfaction (A) | Supply Innovation Capability (B) | Service Level (C) |
---|---|---|---|
AHP-based TOPSIS | 0.3916 | 0.2815 | 0.3269 |
Entropy-AHP TOPSIS | 0.5042 | 0.2122 | 0.2836 |
MCDM Method | Rate of Qualified Products (A1) | Product Price (Thousand Dollars) (A2) | Rate of Product Market Share (A3) | Supply Capacity (kg/ time) (B1) | New Product Development Rate (%) (B2) | Delivery Time (days) (C1) | Delivery on Time Ratio (%) (C2) |
---|---|---|---|---|---|---|---|
AHP-based TOPSIS | 0.4125 | 0.3759 | 0.2116 | 0.5293 | 0.4707 | 0.3917 | 0.6083 |
Entropy-AHP TOPSIS | 0.4790 | 0.2985 | 0.2225 | 0.4951 | 0.5049 | 0.3152 | 0.6848 |
0.6406 | 0.6402 | 0.6400 | 0.6398 | 0.6396 | 0.6395 | 0.6394 | 0.6393 | 0.6392 | 0.6392 | 0.6406 | |
0.2423 | 0.2391 | 0.2367 | 0.2350 | 0.2336 | 0.2326 | 0.2317 | 0.2310 | 0.2304 | 0.2299 | 0.2423 | |
0.6000 | 0.5982 | 0.5969 | 0.5959 | 0.5952 | 0.5946 | 0.5941 | 0.5937 | 0.5934 | 0.5931 | 0.6000 | |
0.5247 | 0.5283 | 0.5308 | 0.5326 | 0.5339 | 0.5350 | 0.5359 | 0.5366 | 0.5371 | 0.5376 | 0.5247 | |
0.3664 | 0.3483 | 0.3343 | 0.3234 | 0.3146 | 0.3074 | 0.3014 | 0.2964 | 0.2921 | 0.2884 | 0.3664 |
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Chen, C.-H. A Novel Multi-Criteria Decision-Making Model for Building Material Supplier Selection Based on Entropy-AHP Weighted TOPSIS. Entropy 2020, 22, 259. https://doi.org/10.3390/e22020259
Chen C-H. A Novel Multi-Criteria Decision-Making Model for Building Material Supplier Selection Based on Entropy-AHP Weighted TOPSIS. Entropy. 2020; 22(2):259. https://doi.org/10.3390/e22020259
Chicago/Turabian StyleChen, Chun-Ho. 2020. "A Novel Multi-Criteria Decision-Making Model for Building Material Supplier Selection Based on Entropy-AHP Weighted TOPSIS" Entropy 22, no. 2: 259. https://doi.org/10.3390/e22020259
APA StyleChen, C.-H. (2020). A Novel Multi-Criteria Decision-Making Model for Building Material Supplier Selection Based on Entropy-AHP Weighted TOPSIS. Entropy, 22(2), 259. https://doi.org/10.3390/e22020259