I have to give a little explanation of Analytical Hierarchy Process (AHP). Now, I will give examples of cases that can be solved by AHP. Sample Supplier selection. A contractor is considering the selection of suppliers. There are 3 suppliers who will choose the best one : A, B and C. Contractor has 4 criteria to be used as a basis in the selectionsuppliers, namely: P, K, A, and D. The steps to solve this problem are as follows :
1. Make Matrix Criteria And Preferences.
Rules of the AHP compares options with each other, I have posted in previous post. So the result matrix (subjective assessment) is as follows :
2. Calculate the value of preferences for each candidate supplier.
Next …. (step 4) produce a matrix of criteria for each potentialsupplier.
Repeat steps 1-3 to other criteria (K, A, D). Thus the results of the assessment of each candidate supplier are :
3. Calculate the value of preferences for the criteria.
The first step give ranking to the criteria by comparing with other criteria.
Repeat steps 1-4. The result is as follows :
4. Final Count
Multiply the matrix of criteria with preference vector
Based on the score above, then the candidate supllier C will be selected as the best option