Technique for Order Preference by Similarity to Ideal Solution
(TOPSIS)
TOPSIS Method in MADM 1
Origin and History
1980: development by Kwangsun Yoon and Hwang Ching-Lai
Yoon, K., System Selection by Multiple
Attribute Decision Making, Ph. D. Dissertation, Kansas State University, Manhattan, Kansas, 1980. Yoon, K. and C. L. Hwang, TOPSIS (Technique for Order Preference by Similarity to Ideal Solution)- A Multiple Attribute Decision Making, a paper to be published, 1980.
TOPSIS Method in MADM 2
Basic Concept
l
The chosen Alternative should have the shortest distance from the ideal solution and the farthest from the negative-ideal solution.
TOPSIS Method in MADM
Basic Concept
Attribute X2 (increasing preference)
A+ . . . A1 . . . AAttribute X1 (increasing preference)
. . A 2
It is very difficult to justify the selection of A1 or A2
TOPSIS Method in MADM 4
Decision Matrix
l
m Alternative, n Attributes (or criteria)
D= . . . . . . Am x m1
x A x A x A x
1 2 3
11 21 31
x x x x
. . .
12 22 32
x x x x
. . .
. . . .
. . . .
. . . .
13 23 33
m2
m3
2n 3n . . . x mn
1n
5
x x x x
TOPSIS Method in MADM
Hypothesis-1
l
Each Attribute in the Decision Matrix takes either monotonically increasing or monotonically decreasing utility
TOPSIS Method in MADM
Hypothesis-2
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A Set of Weights for the Attributes is required
TOPSIS Method in MADM
Hypothesis-3
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Any Outcome which is expressed in a non-numerical way, should be quantified through the appropriate scaling technique
TOPSIS Method in MADM
Steps-1
l
Construct the Normalized Decision Matrix
To transform the various attribute dimensions
into non-dimensional attributes, which allows comparison across the attributes
ij
x
m i =1
ij 2 ij
TOPSIS Method in MADM
Steps-2
l
Construct the Weighted Normalized Decision Matrix
v
12
v11 . . . V = vi1 . . . vm1
. . .
1j
. . .
. . .
. . .
i2
v
. . . . . .
ij
. . .
m2
mj
w1 r11 . . . . . . vin = w1 ri1 . . . . . . . . . vmn w1 r m1
1n
wr
2
12
. . .
wr
j
ij
. . .
. . .
i2
wr
2
wr
j
ij
. . .
. . .
m2
wr
2
. . .
wr
j
mj
. . . wn rin . . . . . . wn r mn . . .
wr
n
1n
TOPSIS Method in MADM
10
Steps-3
l
Determine Ideal and Negative-Ideal Solutions
A A
+
= {( max vij j J ), ( min vij j J ) i = 1,2,...m}
' i i
= {v1 , v2 ,..., v j ,..., vn}
= {( min vij j J ), ( max vij j J ) i = 1,2,...m}
' i i
= {v1 , v2 ,..., v j ,..., v n} where J = j = 1,2,..., n j associated associated with with benefit cos t criteria
'
= j = 1,2,..., n j
criteria
11
TOPSIS Method in MADM
Steps-4
l
Calculate the Separation Measure:
Ideal Separation
+ i
(v v )
j =1 ij n
+ 2 j
i = 1,2,..., m
Negative-Ideal Separation
(vij v j ) 2
j =1
i = 1,2,..., m
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TOPSIS Method in MADM
Steps-5
l
Calculate the Relative Closeness to the Ideal Solution
c c c
* i * i * i
( si + si ) if if
0 < c i < 1,
+ i
i = 1,2,..., m
=1 =0
A=A A=A
i
TOPSIS Method in MADM
13
Steps-6
l
Rank the preference order
A set of alternatives can now be preference
ranked according to the descending order of
* i
TOPSIS Method in MADM
14
An example of using TOPSIS Method
Weight 0.1 0.4 0.3 0.2
Style Civic Saturn Ford Mazda 7 8 9 6
Reliability 9 7 6 7
TOPSIS Method in MADM
Fuel Eco. Cost 9 8 8 8 8 7 9 6
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Steps of TOPSIS l Step 1: Calculate (x2ij )1/2 for each column and divide each column by that to get rij
Civic Saturn Ford Mazda Style Rel. 0.46 0.61 0.53 0.59 0.40 0.48 0.41 0.48 Fuel Cost 0.54 0.53 0.48 0.48 0.48 0.46 0.59 0.40
TOPSIS Method in MADM
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Steps of TOPSIS
l
Step 2 : Multiply each Column by wj to get Vij.
Civic Saturn Ford Mazda Cost 0.046 0.244 0.162 0.106 0.053 0.192 0.144 0.092 0.059 0.164 0.144 0.118 0.040 0.192 0.144 0.080 Style Rel. Fuel
TOPSIS Method in MADM
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Steps of TOPSIS Step 3 (a): Determine Ideal Solution A*.
A* = {0.059, 0.244, 0.162, 0.080} Style Civic Saturn Ford Mazda Rel. Fuel Cost
0.046 0.244 0.162 0.106 0.053 0.192 0.144 0.092 0.059 0.164 0.144 0.118 0.040 0.192 0.144 0.080
TOPSIS Method in MADM 18
Steps of TOPSIS Step 3 (b): Find Negative Ideal Solution A-.
A- = {0.040, 0.164, 0.144, 0.118} Style Civic Saturn Ford Mazda Rel. Fuel Cost
0.046 0.244 0.162 0.106 0.053 0.192 0.144 0.092 0.059 0.164 0.144 0.118 0.040 0.192 0.144 0.080
TOPSIS Method in MADM 19
Steps of TOPSIS Step 4 (a): Determine Separation From Ideal Solution
A* = {0.059, 0.244, 0.162, 0.080}
Si* = [ (vj* vij)2 ] for each row
Style Civic (.046-.059)2 Rel.
Fuel (0)2
Cost (.026)2 (.012)2 (.038)2 (.0)2
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(.244-.244)2
Saturn (.053-.059)2 Ford (.053-.059)2
(.192-.244)2 (-.018)2 (.164-.244)2 (-.018)2 (.192-.244)2 (-.018)2
Mazda (.053-.059)2
TOPSIS Method in MADM
Steps of TOPSIS Step 4 (a): Determine Separation From Ideal Solution Si*
(vj*vij)2 Civic Saturn Ford Mazda 0.000845 0.003208 0.008186 0.003389 Si* = [ (vj* vij)2 ] 0.029 0.057 0.090 0.058
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TOPSIS Method in MADM
Steps of TOPSIS Step 4: Determine Separation From Negative Ideal Solution Si(vj-vij)2 Civic Saturn Ford Mazda 0.006904 0.001629 0.000361 0.002228 Si- = [ (vj- vij)2 ] 0.083 0.040 0.019 0.047
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TOPSIS Method in MADM
Steps of TOPSIS Step 5: Calculate the relative closeness to the ideal solution Ci* = S-i / (Si* +S-i )
S-i /(Si*+ S-i) Civic Saturn Ford Mazda 0.083/0.112 0.040/0.097 0.019/0.109 0.047/0.105 Ci* 0.74 0.41 0.17 0.45
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TOPSIS Method in MADM
