Project selection by a multiple-criteria decision-making method: an example from a developing country

Abstract A multiple-criteria decision-making model is used in the paper to assist in the selection of project proposals. The model is a structured sequential heuristic procedure for evaluating acceptability indices that includes the identification of choices of project, the identification of intrinsic and extrinsic criteria, the analysis and adoption of these criteria, and the pairwise comparison of these criteria with reference to the choices of project. The application of the model provides decision support to top management so that they can commit capital to feasible, as well as profitable, ventures. An example problem involving three high-technology-based construction projects and 15 generic criteria relating to the internal operations and external environment of a construction company in the Indian economic setting is studied to test the applicability of the model.