Analytic Hierarchy Process (AHP) is a widely used decision-making method that helps individuals and organizations prioritize alternatives based on multiple criteria. By breaking complex decisions into a structured hierarchy of goals, criteria, and options, AHP allows decision-makers to systematically compare elements pair by pair.
This page introduces the key concepts, steps, and applications of AHP, answers common questions.
Basic Concepts
What is AHP?
Analytic Hierarchy Process (AHP) is a structured decision-making method that helps evaluate and prioritize alternatives based on multiple criteria.
Who developed AHP?
AHP was developed by Thomas Saaty in the 1970s at the University of Pennsylvania.
How does AHP work?
AHP works by:
Defining the goal and building a hierarchy
Conducting pairwise comparisons of criteria and alternatives
Calculating weights and priorities
Checking consistency
Ranking alternatives
What are pairwise comparisons?
Pairwise comparisons involve comparing two elements at a time to determine their relative importance.
What is the consistency ratio in AHP?
The consistency ratio (CR) measures the logical consistency of pairwise comparisons. A CR below 0.10 is generally acceptable.
Steps and Methods
What are the main steps of AHP?
- Define the goal
- Build the hierarchy
- Conduct pairwise comparisons
- Calculate weights
- Check consistency
- Rank alternatives
How is the hierarchy built in AHP?
The hierarchy typically has three levels: goal at the top, criteria and sub-criteria in the middle, and alternatives at the bottom.
What is the Saaty scale?
The Saaty scale (1–9) is used to express the relative importance of elements in pairwise comparisons.
How are weights calculated in AHP?
Weights are derived from the principal eigenvector of the pairwise comparison matrix.
How is consistency checked in AHP?
By calculating the consistency ratio (CR) and ensuring it is below 0.10.
Interpretation and Results
How do we interpret AHP results?
Results include weights and rankings, showing the relative priority of criteria and alternatives.
How are alternatives ranked in AHP?
By combining criteria weights with scores for each alternative to produce overall priorities.
Can AHP handle multiple decision-makers?
Yes, AHP can aggregate input from multiple experts to produce a combined result.
What if pairwise comparisons are inconsistent?
Comparisons can be revised, or sensitivity analysis can be applied to improve robustness.
How do AHP results lead to a final decision?
By selecting the alternative with the highest overall priority.
Applications
Where is AHP commonly used?
AHP is used in supplier selection, project prioritization, risk assessment, strategic planning, and performance evaluation.
Can AHP be combined with other methods?
Yes, AHP is often combined with DEA, TOPSIS, VIKOR, and other methods for hybrid decision-making.
Can AHP handle qualitative criteria?
Yes, using linguistic scales or subjective judgments.
Can AHP rank projects or products?
Yes, AHP is widely used for prioritizing projects, products, or initiatives.
Can AHP be used for supplier selection?
Yes, it helps evaluate suppliers based on multiple criteria.
Software and Computation
How can AHP be performed online?
You can use the AHP online software at OnlineOutput.com to calculate priorities and rankings.
What data is required for AHP software?
A hierarchy of criteria and alternatives, and pairwise comparisons for each level.
What outputs does AHP software provide?
Weights, alternative rankings, and visual charts of criteria importance.
Do I need math knowledge to use AHP software?
No, the software automatically performs calculations.
Advanced Topics
When should AHP be used?
When decisions involve multiple alternatives and criteria.
Can AHP be combined with fuzzy logic?
Yes, Fuzzy AHP handles uncertainty in expert judgments.
Is AHP suitable for group decision-making?
Yes, it effectively combines multiple experts’ opinions.
Can AHP evaluate organizational or project performance?
Yes, it can prioritize and assess performance across multiple criteria.
Can AHP support sensitivity analysis?
Yes, it can analyze how changes in comparisons affect rankings.
Experience the AHP online software: