Application of a quantitative multiple criteria decision making (MCDM-1) approach to the analysis of investments in construction

Abstract

The paper considers major principles of methods based on quantitative measurements. The problem of construction investments is of paramount importance because they determine the potential of construction and the structure of expenses. The calculation of investments is an expensive tool of enterprise management used in planning the investments. It can be perceived as the harmonization and eveluation of the models for investment decision-making. Methods based on a single criterion can hardly be used in solving the problems associated with sophisticated technological or marketing systems. It is a multiple attribute decision method, taking into consideration major efficiency criteria, that enables the effective methods of solving complicated problems. When the quantitative criteria are precisely defined, the developed quantitative multiple criteria decision making (MCDM-1) method can be successfully applied. The present paper is devoted to the analysis of the algorithm and methods of application of the suggested technique.