Skip to main content

Journal of Management and Digital Transformation

Published: 2018-12-31

The reference point method at decision selection in risk conditions

Andrzej Łodziński

Abstract

The paper presents the application of multi-criteria optimization for modeling and decision support in risk conditions. Decisions in risk conditions are when the result of a decision is not unequivocal and depends on the state of the environment. The decision process is modeled using the multi-criteria optimization problem. Multi-criterial optimization methods do not give one solution, but a whole set of the solutions. The decision is made by solving the problem with the control parameters that determine the decision maker’s aspirations and the evaluation of the solutions received. The decision-maker asks the parameter for which the solution is determined. Then, evaluate the solution received accepting or rejecting it. In the second case, the decision-maker gives a new parameter value and the problem is solved again for the new parameter. The work includes an example of supporting decisions in risk conditions – the problem of choosing an energy investment.

Download files

Citation rules

Łodziński, A. (2018). The reference point method at decision selection in risk conditions. Journal of Management and Digital Transformation, (14), 199–211. Retrieved from https://journalmdtr.org/index.php/jmdt/article/view/120

Similar Articles

1 2 > >> 

You may also start an advanced similarity search for this article.

No. 14 (2018)
Published: 2018-12-31


ISSN: 3072-5682

Publisher
Uniwersytet DSW Ideis

This website uses cookies for proper operation, in order to use the portal fully you must accept cookies.