Multiobjective and Multicriteria Problems and Decision Models

The decision-making process for any organization may be a key factor for its success. Many decision problems have more than one objective that need to be dealt with simultaneously. This chapter introduces decision problems with multiple objectives, with a description of the basic elements needed to build decision models and focuses on multicriteria methods (MCDM; MCDA; MCDM/A), in which the DM’s preference structure is considered. An overview for classification of MCDM/A methods is given, including a discussion on the DM’s compensatory and non-compensatory rationality and on multi-objective and multicriteria approaches. The concepts and basic elements of MCDM/A methods are presented, including preference structures in a multi-attribute context, and intra-criterion and intra-criteria evaluation. The basic elements of a decision process for building decision models and the actors in this process are also presented. Differences between the descriptive, normative, prescriptive and constructivism decision approaches are discussed, considering the decision process. Although these concepts are presented in a general sense, this description deals mainly with the main context that this book explores: Risk, Reliability and Maintenance (RRM). Decision problems in a RRM context may affect the strategic results of any organization, as well as, human life (e.g. safety) and the environment. Therefore, an explanation is given as to why and how a MCDM/A arises in the RRM context. In particular, some peculiarities of service producing systems for MCDM/A models are presented, as well as for goods producing systems.