MULTIPLE CRITERIA DECISION-MODEL FOR RESOURCE-ALLOCATION - A CASE-STUDY IN AN ELECTRIC UTILITY

This case study describes the application of multiple criteria decisio n models to resource allocation in electric utility. The decision situ ation is characterized by a large number of projects competing for lim ited funding, the presence of fuzzy criteria, and the available data b eing ordinal in nature. The large number of projects and the nature of the data preclude the use of utility-theoretic approaches. The ordina l decision model of Cook and Kress is used as a screening tool in a pa rtially automated decision process. The model can be easily explained to management and provides the theoretical rigor not found in simpler decision models.