Journal Article

·1996

BANK BRANCH LOCATION SELECTION BY FUZZY AHP

Nihan Çinar YTU

Abstract

Location selection is one of the most important multi-criteria decision problem which requires to consider several criteria and has a strategic importance for many companies. The general procedure for making location decisions consists of the following steps: Decide on the criteria that will be used to evaluate location alternatives, select the criteria that are important, evaluate location alternatives and select the best alternative [1]. The object of this study is to help a bank in Turkey selecting the most appropriate location among six alternatives in the South-Eastern of Turkey. The model is consisted of five main criteria which are demographic, socioeconomic, sectoral employment, banking and trade potential and twenty-one sub-criteria. The conventional methods for location selection are inadequate for dealing with the imprecise or vague nature of linguistic assessment. To overcome this difficulty, fuzzy multicriteria decision-making methods are proposed. Because of the multi-criteria structure of the problem and the fuzziness in the comparisons of the criteria and the alternatives, Chang’s [2] extent analysis method on fuzzy AHP is used.

Keywords

Selection (genetic algorithm) Analytic hierarchy process Computer science Fuzzy logic Multiple-criteria decision analysis Operations research Artificial intelligence Mathematics

Subject Areas

Multi-Criteria Decision Making ·Management Science and Operations Research ·Social Sciences
Optimization and Mathematical Programming ·Control and Systems Engineering ·Physical Sciences
Soil and Land Suitability Analysis ·Management, Monitoring, Policy and Law ·Physical Sciences