TOPSIS-based Analysis for Multi-criteria Decision Problems

Abstract

Multi-criteria decision-making is a technique that mainly emphasizes searching for the prime replacement by considering multiple criteria at the same time. It is a key factor in operations research and is mostly used in different types of fields such as engineering, finance, and management. The major thing behind TOPSIS is that the selected substitute must be the one that has the smallest distance from the positive ideal solution and the longest distance from the negative ideal solution. The MCDM technique deals with both the quantitative and qualitative standards. But, TOPSIS is sensitive to the selection of standards and reference substitutes, which will change the ranking results. Even with this limitation, TOPSIS is a useful tool for decision-makers to structure complex problems, analyze options, make comparisons, and rank alternatives clearly and systematically.