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An Application of the Analytical Hierarchy Process (Ahp)

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An Application of the Analytical Hierarchy Process (Ahp)
An Application of the Analytical Hierarchy Process (AHP) in the Selection of Functional Areas of a Business Organization of the Industrial Engineering (IE) Students Class of 2013 of the University of Santo Tomas (UST) Authors: Eunice Bianca L. Agpasa, Mikhail George C. Agustin, Arlene Leah L. Chua, 5IEB, 5th Year Industrial Engineering Students, University of Santo Tomas, España, Manila, Philippines I. Abstract Career selection is crucial in determining future plans of students, particularly Industrial Engineering students. Their decision is vital in shaping their future and will have a great effect throughout their lives so this study aims to determine the process of how students make decisions in selecting functional areas of a business organization, and the factors affecting the selection of career opportunities. The process intended to be used by the researchers is the Multi-Criteria Decision-Making (MCDM) tool Analytical Hierarchy Process (AHP). This process is widely used in decision-making which covers complex problems. The results obtained using AHP determined which among the three functional areas is the most important, that is the Marketing function followed by Finance, and the least important is the Operations. However, the level of inconsistency of the criteria and alternatives are unacceptable, since all consistency ratios are greater than one tenth. For the level of inconsistency of criteria and alternatives, the consistency ratio for the 3 Criterion ( feeling of interest ( career opportunity ( and salary ( are 1.52, 1.52, 1.80 and 1.98 respectively are less than 0.1. The level of inconsistency of the criteria and alternatives are unacceptable, because all CR > 0.1.This is because of the survey respondents’ inconsistent answers, since respondents have different selection of functional areas of a business organization. Consistency implies coherent judgment on the part of the decision maker regarding pair-wise comparisons. It is unusual for all

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