Transformations in
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- © University of Latvia, 2002-2020
Article
DECISION MAKING ON EXIGENT ISSUES IN ORGANISATIONS: A CASE STUDY ON R&D PROJECTS
Mohammad Hasan Aghdaie, Sarfaraz Hashemkhani Zolfani, Fausto Cavallaro, Mohammad Hossein Morshed Varzandeh, Arman Derakhti, Dragan Pamucar
ABSTRACT. Purpose: The concept of research and development
(R&D) becomes a very important issue for abundant corporations and their
survival depends on the accuracy of R&D decisions. There are a host of possible
R&D projects for every company and selecting the most appropriate one is a
complicated task. Many criteria should be considered in the decision-making
process; therefore, project selection process can be viewed as a multiple
attribute decision-making (MADM) problem.
Design/methodology/approach: In this
paper, a novel integrated MADM model is proposed to evaluate and select the best
R&D project. More precisely, two MADM tools are used in the decision-making
process. Step-wise Weight Assessment Ratio Analysis (SWARA) is used for
determining the importance of each criterion and calculating the weight of each
criterion. Then, Complex Proportional Assessment (COPRAS) is used for assessing
alternatives as well as ranking R&D project alternatives from the best to the
worst ones. Finally, a real case study is presented to demonstrate the
applicability of the proposed methodology.
Research limitations/implications:
Further research should include uncertainty environment to exploit the uncertain
factors in the evaluation of R&D projects.
Findings: According to the results of
this study, DMs faced with critical factors that were found to influence an
organisation's decision about choosing a new R&D project. Based on this
research, it was shown that DMs have a great impact on decisions in an
organisation so their decisions could influence the outcomes. Specifically, this
study provides a valuable view that DMs should be taken as a decision-making
team. Furthermore, the authors propose the algorithm of this research as a new
model of mutual funds evaluation which considers a wide range of variables with
respect to amateur and professional points of view.
Originality/value: The originality of this paper is threefold: First, different criteria were considered to make the evaluation more comprehensive; Second, hybrid SWARA-COPRAS model is used to make the results more authentic; Third, a new/original MCDM model for evaluation R&D projects is proposed.
Practical implications: As a result, the model can help managers to evaluate and select the best R&D project regarding their company's strategies, resources, and policies in their organisation.
KEYWORDS: R&D, Project evaluation and selection, Multiple attribute decision making (MADM), step-wise weight assessment ratio analysis (SWARA), Complex Proportional ASsessment (COPRAS).