Improving Decision-Making in a Business Simulator Using TOPSIS Methodology for the Establishment of Reactive Stratagem

Improving Decision-Making in a Business Simulator Using TOPSIS Methodology for the Establishment of Reactive Stratagem

Carlos Alberto Ochoa Ortiz Zezzatti (Juarez City University, Mexico)
DOI: 10.4018/978-1-5225-1877-8.ch002
OnDemand PDF Download:
$30.00
List Price: $37.50

Abstract

This study combines Fuzzy Logic and multicriteria TOPSIS method for the selection, from three different alternatives, which machines of high productivity is more convenient to a construction company. The evaluation of each alternative is made through group decision making which identifies the most important criteria according to the requirements presented by the company. To assess the selected criteria in the TOPSIS method is weighted by a group of experts who, based on their experience and knowledge of this type of machinery, assess the relevance of these in the operation and functioning of the hydraulic excavator. Both qualitative and quantitative studies are used in this work, however the experts evaluate, through surveys based on Likert scale all the criteria in which they want to measure the perception. Data provided from the surveys is used for the construction and association of the groups of expert's opinion through the use of fuzzy sets to avoid ambiguity problems of the linguistic variables.
Chapter Preview
Top

Topsis Methodology To Improve A Business Simulator

Business Simulator is a learning tool and modeling which allows the entrepreneurial experience of creating and managing own business in an environment that does not risk money, a special situation which don’t occurs in the real life. This will help you acquire the necessary experience to learn to distinguish the important from the unimportant when it comes to managing a business. Business Simulator can learn without risk –an important and transcendental factor in the real situations-, but empirically, it should not be done and what cannot be left to do. This is a systemic game in which the entrepreneur enters a simulator that behaves autonomously. Our actions affect others and those of others influence us. The entrepreneur must meet all the needs of your business: finance, marketing, sales, production, human resources, tax, competition, marketing positional and quality of services or products. An entrepreneur must learn to make decisions in a fog of uncertainty, should know to take advantage of the moments when all men doubt to gain competitive advantage. An entrepreneur must learn to calibrate each decision to understand the effect of short, medium and long term as in our Business simulator. See Figure 1. The chosen Alternative should have the shortest distance from the ideal solution and the farthest from the negative-ideal solution. It is very difficult to justify the selection of A1 or A2. Each Attribute in the Decision Matrix takes either monotonically increasing or monotonically decreasing utility, a Set of Weights for the Attributes is required to Any Outcome which is expressed in a non-numerical way, should be quantified through the appropriate scaling technique and rank the preference order specify a set of alternatives can now be preference ranked according to the descending order of ci*.

Figure 1.

Intelligent selection of stratagems using TOPSIS Methodology

Complete Chapter List

Search this Book:
Reset