AHP based group decision making in ranking loan applicants for purchasing irrigation equipment: A case study

Abstract

The aim of this paper is to propose an approach for minimizing the risk of negligent, incompetent, or irresponsible group decision making by assigning weights to the decision makers (DMs) according to their demonstrated individual inconsistencies. A decision-making framework is based on the analytic hierarchy process (AHP). The consistency ratio (CR) and total Euclidean distance (ED) are used to 'weight' involved decision makers. The approach is demonstrated in a practical example of ranking the agricultural producers who applied to the Provincial Fund for Agricultural Development of Vojvodina Province (Serbia) for loans for purchasing irrigation equipment.