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A Consistent Fuzzy Preference Relations Based ANP Model for R&D Project Selection

Author

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  • Chia-Hua Cheng

    (Department of Industrial Engineering and Management, National Taipei University of Technology, Taipei 10608, Taiwan)

  • James J. H. Liou

    (Department of Industrial Engineering and Management, National Taipei University of Technology, Taipei 10608, Taiwan)

  • Chui-Yu Chiu

    (Department of Industrial Engineering and Management, National Taipei University of Technology, Taipei 10608, Taiwan)

Abstract

In today’s rapidly changing economy, technology companies have to make decisions on research and development (R&D) projects investment on a routine bases with such decisions having a direct impact on that company’s profitability, sustainability and future growth. Companies seeking profitable opportunities for investment and project selection must consider many factors such as resource limitations and differences in assessment, with consideration of both qualitative and quantitative criteria. Often, differences in perception by the various stakeholders hinder the attainment of a consensus of opinion and coordination efforts. Thus, in this study, a hybrid model is developed for the consideration of the complex criteria taking into account the different opinions of the various stakeholders who often come from different departments within the company and have different opinions about which direction to take. The decision-making trial and evaluation laboratory (DEMATEL) approach is used to convert the cause and effect relations representing the criteria into a visual network structure. A consistent fuzzy preference relations based analytic network process (CFPR-ANP) method is developed to calculate the preference-weights of the criteria based on the derived network structure. The CFPR-ANP is an improvement over the original analytic network process (ANP) method in that it reduces the problem of inconsistency as well as the number of pairwise comparisons. The combined complex proportional assessment (COPRAS-G) method is applied with fuzzy grey relations to resolve conflicts arising from differences in information and opinions provided by the different stakeholders about the selection of the most suitable R&D projects. This novel combination approach is then used to assist an international brand-name company to prioritize projects and make project decisions that will maximize returns and ensure sustainability for the company.

Suggested Citation

  • Chia-Hua Cheng & James J. H. Liou & Chui-Yu Chiu, 2017. "A Consistent Fuzzy Preference Relations Based ANP Model for R&D Project Selection," Sustainability, MDPI, vol. 9(8), pages 1-17, August.
    • Handle: RePEc:gam:jsusta:v:9:y:2017:i:8:p:1352-:d:106583
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    References listed on IDEAS

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    Cited by:

    1. Kao-Yi Shen & Gwo-Hshiung Tzeng, 2018. "Advances in Multiple Criteria Decision Making for Sustainability: Modeling and Applications," Sustainability, MDPI, vol. 10(5), pages 1-7, May.
    2. Yu-Sheng Kao & Kazumitsu Nawata & Chi-Yo Huang, 2019. "Systemic Functions Evaluation based Technological Innovation System for the Sustainability of IoT in the Manufacturing Industry," Sustainability, MDPI, vol. 11(8), pages 1-34, April.
    3. Jamile Eleutério Delesposte & Luís Alberto Duncan Rangel & Marcelo Jasmim Meiriño & Ramon Baptista Narcizo & André Armando Mendonça de Alencar Junior, 2021. "Use of multicriteria decision aid methods in the context of sustainable innovations: bibliometrics, applications and trends," Environment Systems and Decisions, Springer, vol. 41(4), pages 501-522, December.
    4. Thi Yen Pham & Gi-Tae Yeo, 2018. "A Comparative Analysis Selecting the Transport Routes of Electronics Components from China to Vietnam," Sustainability, MDPI, vol. 10(7), pages 1-18, July.
    5. Dalton Garcia Borges de Souza & Erivelton Antonio dos Santos & Nei Yoshihiro Soma & Carlos Eduardo Sanches da Silva, 2021. "MCDM-Based R&D Project Selection: A Systematic Literature Review," Sustainability, MDPI, vol. 13(21), pages 1-34, October.
    6. Qing He & Yaqin Liu & Qian Yu & Chao Wei, 2022. "Risk Dominance Analysis of R&D Investment Cooperation in Dynamic Option Game," Sustainability, MDPI, vol. 15(1), pages 1-21, December.
    7. Seunghoon Lee & Yongju Cho & Minjae Ko, 2020. "Robust Optimization Model for R&D Project Selection under Uncertainty in the Automobile Industry," Sustainability, MDPI, vol. 12(23), pages 1-15, December.

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    More about this item

    Keywords

    R&; D; ANP; CFPR; DEMATEL; COPRAS-G;
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