Analytical Hierarchy Process
A decision making tool for complex, multi-criteria problems where both qualitative and quantitative aspects of a problem need to be incorporated. AHP clusters the decision elements according to their common characteristics into a hierarchical structure similar to a family tree. It involves building a hierarchy (Ranking) of decision elements and then making comparisons between each possible pair in each cluster (as a matrix). This gives a weighting for each element within a cluster (or level of the hierarchy) and also a consistency ratio (useful for checking the consistency of the data). By reducing complex decisions to a series of simple comparisons and rankings, then synthesizing the results, AHP helps arrive at the best decision and also provides a clear rationale for the choice made. The Analytical Hierarchy Process Model was designed by TL Saaty as a decision making aid.
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