Discover the most frequently asked questions about the TOPSIS method, including its principles, calculation process, and real-world uses. Learn how to rank alternatives effectively using our online TOPSIS software.
Basic Concepts
What is the TOPSIS method?
TOPSIS is a multi-criteria decision-making (MCDM) method that ranks alternatives based on their distance from the ideal and negative-ideal solutions.
What does TOPSIS stand for?
TOPSIS stands for Technique for Order Preference by Similarity to Ideal Solution.
Who developed the TOPSIS method?
TOPSIS was developed by Hwang and Yoon in 1981.
What is the main idea behind TOPSIS?
The best alternative should have the shortest distance from the ideal solution and the farthest distance from the negative-ideal solution.
When should TOPSIS be used?
When you need to choose the best option among several alternatives based on multiple quantitative or qualitative criteria.
Methodology and Steps
What are the main steps in the TOPSIS method?
- Construct the decision matrix
- Normalize the decision matrix
- Apply criteria weights
- Identify the positive and negative ideal solutions
- Calculate the distance of each alternative
- Compute the closeness coefficient and rank alternatives
What is a decision matrix?
It’s a table showing the performance of each alternative under each criterion.
What is normalization in TOPSIS?
Normalization converts different scales of criteria into comparable values.
What are the positive and negative ideal solutions?
Positive ideal: the best possible value for each criterion.
Negative ideal: the worst possible value for each criterion.
What is the closeness coefficient (CC)?
A value that shows how close each alternative is to the ideal solution.
Calculations and Results
How is the closeness coefficient calculated?
By dividing the distance to the negative ideal by the sum of distances to both the positive and negative ideal solutions.
What does a higher closeness coefficient mean?
It means the alternative is better and closer to the ideal solution.
What does a closeness coefficient of 1 mean?
The alternative perfectly matches the ideal solution.
What does a closeness coefficient of 0 mean?
The alternative is the worst and matches the negative ideal solution.
How are alternatives ranked in TOPSIS?
Alternatives are ranked in descending order of their closeness coefficients.
Applications
Where is the TOPSIS method used?
In project selection, supplier evaluation, performance assessment, risk management, and resource allocation.
Why is TOPSIS popular in decision-making?
Because it’s simple, logical, and provides clear numerical rankings.
Can TOPSIS handle both benefit and cost criteria?
Yes, benefit criteria are maximized, and cost criteria are minimized.
Is TOPSIS suitable for group decision-making?
Yes, it can aggregate judgments from multiple experts.
Can TOPSIS handle qualitative data?
Yes, as long as qualitative terms are converted into numerical scores.
Using the Software
Can TOPSIS be used online?
Yes, you can use the TOPSIS online software available at OnlineOutput.com.
What inputs are required for the software?
A list of criteria, their weights, and performance values of alternatives.
What outputs does the TOPSIS software provide?
- Normalized decision matrix
- Weighted normalized matrix
- Closeness coefficients
- Final ranking
Does the software automatically calculate the ideal solutions?
Yes, it computes the positive and negative ideal solutions automatically.
Can users export or share their results?
Yes, results can be exported for reports or further analysis.
Advanced Topics
What is the main difference between TOPSIS and AHP?
AHP determines weights through pairwise comparisons, while TOPSIS focuses on ranking alternatives based on distance from ideal solutions.
Can TOPSIS be integrated with other methods?
Yes, it can be combined with methods like AHP, DEMATEL, or VIKOR for hybrid decision models.
What are the limitations of TOPSIS?
It assumes criteria are independent and does not handle uncertainty directly.
How can uncertainty be handled in TOPSIS?
By using the Fuzzy TOPSIS method, which applies fuzzy logic to represent uncertain judgments.
Why use TOPSIS in MCDM problems?
Because it provides a rational, efficient, and easy-to-understand approach to ranking alternatives under multiple criteria.
Experience the Topsis online software: