A multi-criteria decision-making methodology on the selection of facility location: fuzzy ANP

Analytical ways to reach the best decisions are the most preferable issues in many business platforms. During the decision processes, besides the measurable variables, there exist qualitative variables, especially if the decision is based on a selection problem. Analytic hierarchy process (AHP) and analytic network process (ANP) are two of the best ways to decide among the complex criteria structure in different levels using qualitative variables. When there are interactions between the criteria in different levels of the hierarchy, then AHP cannot be used because of their one-way direction of hierarchy; the ANP has been developed for this kind of need. In this study, a fuzzy ANP method is developed for a multi-criteria facility location selection problem where the criteria set includes interactions with each other on the hierarchy structure. Besides the fuzzy ANP model development and implementation on facility location, sensitivity analysis was also originally performed to indicate the upper and lower bounds for the importance levels of alternative locations.

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