Page 36 - Decision Making Applications in Modern Power Systems

Multicriteria decision-making methodologies Chapter | 1 13

1.2.5.1 Elimination and choice translating reality I
This is based on the concordance and discordance indexes. The concept of
concordance and discordance determines the outranking of alternatives.
The concordance states and measures the intensity of favoring an argument
placed for an alternative under analysis, whereas discordance gives the
intensity of the opposition for the same. This method is designed for the
selection of problems.

1.2.5.2 Elimination and choice translating reality II
This method is similar to the ELECTRE I. The only difference is the addi-
tion of a threshold value to the outranking matrices formed. This method is
suitable for ranking problems.

1.2.5.3 Elimination and choice translating reality III
This method is considered an interaction method as it involves the direct par-
ticipation of decision maker and the process. The quantitative and qualitative
criterion can be analyzed. This method is used when there is a necessity to
quantify a certain criterion.

1.2.5.4 Elimination and choice translating reality IV
The ELECTRE IV method allows the construction of several (nested)
upgrade relationships when it is not possible to assign weights to each of the
pseudocriteria. Instead, the decision maker must allow that none of the crite-
ria is dominant or negligible (so able to deal with any grouping of one-half
of the pseudocriteria).
Three basic steps are involved in the formulation:
1. finding the threshold function;
2. calculation of concordance and discordance indexes; and
3. determining the outranking degree.
A detailed flowchart illustrating the ELECTRE method is given in
Fig. 1.3. A detailed explanation of the previous steps is as follows:
Step 1: Decision matrix
The decision matrix is formed similar to those mentioned in Section 1.2.4.
Step 2: Normalization
In this step the decision matrix formulated is normalized. This is done by
making the entries of decision matrix as dimensionless by using the follow-
ing equation:
p ij
ð1:12Þ
x ij 5 s ffiffiffiffiffiffiffiffiffiffiffiffiffiffi
m
2
P
p kj
k51