ARTICLE
TITLE

Comparative Analysis of the Normalization Techniques in the Context of MCDM Problems

SUMMARY

NormNormalization is an essential step in data analysis and for MCDM methods. This study aims to outline the positive and negative features of the normalization techniques that can be used in MCDM problems. In order to compare the different normalization techniques, fourteen sets representing different scenarios of decision problems were used. According to the results, if the decision-maker chooses to take the alternative with the highest value in the criteria and avoid the one with the lowest value, or vice versa, optimization-based normalization techniques should be preferred, whereas the reference-based normalization techniques are considered appropriate for situations where there are ideal values determined by the decision-maker for each criterion. However, if the decision-maker believes that the values in the criteria do not represent the monotonous increasing or decreasing benefit/cost, then non-linear normalization techniques should be used. Also, in the event of a change in the conditions mentioned above, the decision maker may opt for mixed normalization techniques. However, some data structures, such as the presence of zero, and negative values in the decision matrix, can prevent the use of some normalization techniques. The choice of the normalization technique may also be affected by the problem of rank reversal, the range of normalized values, obtaining the same optimization aspect for all criteria, and the validity of results.

KEYWORDS

 Articles related

Choong Ho Shin, Hyejin Cho, Myeong Hyeon Cho    

A chaebol is a Korean business group with a unique organizational structure in which both ownership and control rights held by a family. As their production accounts for nearly fifty percent of Korea’s GDP and their power in the labor market, it is impor... see more


Milena Popovic, Marija Kuzmanovic, Gordana Savic    

This paper is based on the main difference between conceptual and theoretical frameworks as well as literature review of comparative studies of two multi-criteria decision making methods: Analytic Hierarchy Process (AHP) and Conjoint analysis. The AHP me... see more


ATM Adnan,Ayub Nabi Khan,Mohammad Shahidul Islam    

Purpose of the article: The Ready-Made Garment (RMG) industry remains the most crucial segment of Bangladesh’s economy besides the agricultural sector in terms of foreign currency earning via export and employment generation. Several international studie... see more


Linda van Zyl,Danielle van Wyk    

AbstractSection 164(3) of the Tax Administration Act No. 28 of 2011 gives a senior SARS official the discretion to suspend the payment of disputed tax or a portion thereof, having regard to relevant factors. Limited guidance is available in this regard. ... see more


Gerhardus van Zyl,Kagiso Matswalela    

AbstractThe aim of the article is to perform a comparative competitor benchmark analysis of the level of competitiveness of the South African clothing and textile industry (CAT industry). The article employs both Revealed Comparative Advantage (RCA) indi... see more