Logical Decisions - Classweb

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the hierarchy. In the Matrix view, new measures are added to the left of the selected measure as members of the "Overall" goal. Deleting a Measure. You can delete the active measure in a view window using the Edit::Delete or Edit::Cut option. The Cut option saves a copy of the measure. The Delete option does not save a copy and requires confirmation before it deletes the measure. Structuring Measure Levels A measure level describes an alternative’s performance on a measure. Each alternative has one level for each measure or measure category. Thus, LDW does not let you add or delete measure levels, only change them. You set measure levels in the Matrix view. Each cell in the matrix defines the level for the measure at the top of the column and the alternative at the start of the row for the cell. Types of Measure Levels. Most measure levels are "point estimates." That is, they are single numbers with no uncertainty. However, LDW lets you define several other types of levels. "Probabilistic levels" are levels with uncertainty. You describe the uncertainty by defining a probability distribution for the level. Measures that have measure categories have their levels defined by a weighted sum of the category levels. Measures that use labels describe levels with brief textual descriptions (such as "High", Medium" or "Low"). You can define all types of levels in the Matrix view. Levels and AHP. If you are planning to use the Analytic Hierarchy Process to convert a measure to common units, you don't need to worry about levels, since LDW does not use the levels for the measure when doing the conversion. In AHP you directly compare the alternatives. Defining "Point Estimate" Levels. Point estimate levels are easy to define. Just select the level you want to define and type in the number. Remember to confirm that you have finished by pressing the Enter key or the Up-Arrow or Down-Arrow key. There are no restrictions on the numbers you can enter as measure levels. 6-20 Section 6 -- Using LDW 1: Structuring
In particular, the levels you enter do not need to be within the measure's range as defined in its properties dialog box. Just be aware that LDW will convert levels outside a measure's range to common units (utilities) greater than one or less than zero. There are many options available for defining probabilistic measure levels, so they are discussed in the next section. Probabilistic Measure Levels You define probabilistic measure levels from the Matrix view. To start the process, select the level you want to make probabilistic and double-click on its cell. Or, you can select the cell by clicking on it and select the Matrix::Define Probability option. In either case you will see the probability dialog box shown in Figure 6-10. Figure 6-10. Probability dialog box. The probability dialog box shows the level being modified and its current probability distribution. The following types are available: Section 6 -- Using LDW 1: Structuring 6-21
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Logical Decisions Decision Support
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Table of Contents Table of Contents
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Assessing Weights with Weight Ratio
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Assessing Interactions Between Meas
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Introduction Real decisions aren't
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S E C T I O N Requirements and Inst
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"Logical Decisions". This program g
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Quick Start Introduction This secti
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Defining goals and measures. In LDW
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Figure 3-1. The SUF for "Years of E
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weights of the measures. All of the
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S E C T I O N Basic Tutorial 4
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Figure 4-1. Tutorial overview. 4-2
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Now lets make sure the alternatives
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Assume you have decided that you wi
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Next we will enter the measures for
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Defining Preferences The alternativ
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1. Select the Assess::Common Units
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almost equally unacceptable, while
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1. Select the Assess::Common Units
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When you do this, the tradeoff grap
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1. Select "Performance" and "Price"
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8. Click on the "Equal" button to t
Page 52 and 53: Figure 4-11. Display generated by R
Page 54 and 55: Figure 4-13. Overall ranking for tr
Page 56 and 57: Figure 4-15. Graph showing sensitiv
Page 58 and 59: You can see the completed introduct
Page 61 and 62: Advanced Tutorial This tutorial sec
Page 63 and 64: Probabilities There is a problem wi
Page 65 and 66: This information indicates that the
Page 67 and 68: A uniform distribution is defined b
Page 69 and 70: On the left is a list of the possib
Page 71 and 72: Figure 5-2. Example of Results::Unc
Page 73 and 74: screen a large database for the alt
Page 75 and 76: 9. LDW will ask if you want to appe
Page 77 and 78: commit to buying their truck before
Page 79 and 80: see that the rankings for all the a
Page 81: S E C T I O N Using LDW 1: Structur
Page 84 and 85: The Edit::Insert option. The Insert
Page 86 and 87: ! Summary -- view a dialog box that
Page 88 and 89: structure like an organization char
Page 90 and 91: If you check the Show Assessment St
Page 92 and 93: saves it for later pasting. When yo
Page 94 and 95: You can create a new Matrix view by
Page 96 and 97: The quick entry view shows the alte
Page 98 and 99: Structuring Goals The goals in an L
Page 100 and 101: these two fields to describe each m
Page 104 and 105: ! Point Estimate -- use a single nu
Page 106 and 107: Figure 6-12. Example of a measure l
Page 108 and 109: Figure 6-14. Example of a measure l
Page 110 and 111: pass, LDW replaces each probabilist
Page 112 and 113: Figure 6-17. Dialog box for definin
Page 114 and 115: Figure 6-18. Measure Category Dialo
Page 117: S E C T I O N Using LDW 2: Assessin
Page 120 and 121: measure utility functions for the g
Page 122 and 123: information as possible when you ch
Page 124 and 125: measures with categories require mu
Page 126 and 127: The "Reset" button deletes any asse
Page 128 and 129: You can change the shape of the cur
Page 130 and 131: Figure 7-4. Utility Assessment Scre
Page 132 and 133: very different from the average of
Page 134 and 135: Figure 7-6. Assessment matrix for A
Page 136 and 137: You can, however, leave the assessm
Page 138 and 139: properties dialog box can be select
Page 140 and 141: the same level. LDW provides a grap
Page 142 and 143: options in the Hierarchy menu to ad
Page 144 and 145: The check box labeled "Allow Repres
Page 146 and 147: Next you will see a tradeoff assess
Page 148 and 149: The Tradeoff::Use Alternatives to S
Page 150 and 151: Figure 7-13. Example of Direct Entr
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You can think of the importance num
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Figure 7-15. Assessment Screen for
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When you have selected two members
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("importance strength") that best d
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clicking on the "Initialize" button
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Set a Small k. The Enter Small k op
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select the tradeoff you would like
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Figure 7-18. Effects of consistency
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Using LDW 3: Reviewing Results Intr
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The curve shows how the utility fun
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The tradeoff graph has one measure
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When you select the option, you are
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the relative weights of the "Price"
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epresents a computer alternative wi
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Figure 8-11. Example of Review::Ass
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e true even if the measure has a ve
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an analysis are included in exactly
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Graph Weights The Graph Weights dis
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Figure 8-16. Results::Rank Alternat
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Figure 8-18. Dialog box for Results
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You can use the measure equivalents
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simulation for each alternative usi
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Sensitivity Graphs Sensitivity grap
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You can view a sensitivity table by
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Figure 8-28. Example of Results::Sc
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Figure 8-30. Example of Results::Sc
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In the dialog box, you are asked to
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Figure 8-34. Dialog box for Results
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Graph an Alternative The graph an a
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Figure 8-38. Example of Results::Gr
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Finally, the two radio buttons on t
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Figure 8-43. Example of Results::Co
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Printing and Saving Windows You can
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The dialog box will show you the fi
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Figure 8-45. Dialog box for Edit::C
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Changing the range for utility. You
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Figure 8-50. Dialog box for Prefere
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the current color for that type of
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copies the selected objects to the
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analysis with the skeleton analysis
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Figure 8-55. Dialog box for File::I
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the other measures. The measure nam
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The idea of the Import Structure op
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Next, LDW asks you if it should app
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Other Options utility function for
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In addition, the Window menu contai
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In Depth Introduction This section
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A third example is a portfolio deci
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Each alternative has a raw score (c
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into more specific goals continues
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Measures in LDW You define measures
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computed measure levels to common u
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Converting the Measures to Common U
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Figure 9-2. Example of linear (stra
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For an example of the mid-level spl
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Since U(L0) = U(80) = 0 and U(L1) =
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Figure 9-5. Summary of SUF assessme
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describe two alternatives: A, which
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with equal chances of 40 and 70 per
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In the original formulation of the
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1 Equal Importance Two activities c
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You begin the process by selecting
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Figure 9-7. Effects of goals with a
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0.5. Then the weight assigned to "P
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! You can use the "Smarter Method"
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allocates this weight before comput
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nth root of the product of the rati
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Figure 9-8. Summary of estimating t
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on the decision maker's response, L
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Figure 9-10. MUF assessment figure
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Now think of adjusting P so that th
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Another approach is to use the rang
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Figure 9-12. Quantitative range vs.
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If a measure’s range changes, LDW
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Figure 9-14 is an example of the ov
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Similarly, a single member can have
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chance having 160 hp (the most pref
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A probability of less than 0.5 for
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Interpreting the Ranking Results LD
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S E C T I O N Examples 10
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the idea that other manufactures an
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The completed goals hierarchy is sh
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Buying a House The ranking results
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Figure 10-5. Goals hierarchy for bu
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Overall goal Quality goal Costs goa
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The preference assessments were don
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Figure 10-9. Goals hierarchy for re
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! Noise, ! Agricultural Impacts, an
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S E C T I O N Commands Summary 11
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Assess Menu Edit Menu The Assess me
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File Menu Edit::Insert Lets you add
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utility function” if the active g
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Matrix Menu ! Hierarchy -- options
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Results::Dynamic Sensitivity See th
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Review::Compute Utilities Compute t
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Tradeoff Menu View Menu LDW display
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S E C T I O N Glossary 12
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Common Units Certainty Equivalent C
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LDW File Level Lottery Measure assi
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MUF MUF Formula See also: Alternati
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Preference Set Probabilistic Level
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Tradeoff Trial program decides whic
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Bibliography B
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The classic reference on multiple m
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Appendix This appendix describes th
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= .125 Thus the weight for cost is
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Index adjusted AHP ................
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computing ................8 - 3 int
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