Analytic Hierarchy Process (AHP) is a decision-making method that decomposes the elements that are always related to decision-making into objectives, criteria, schemes and other levels, and then makes qualitative and quantitative analysis on this basis. This method is a hierarchical weight decision-making analysis method put forward by Professor Satie, a logistics scientist in Pittsburgh, USA, when he studied the topic of "Power Distribution according to the Contribution of Industrial Departments to National Welfare" for the US Department of Defense in the early 1970s, applying the network system theory and the multi-objective comprehensive evaluation method. The characteristic of this method is that on the basis of in-depth analysis of the nature, influencing factors and internal relations of complex decision-making problems, the thinking process of decision-making is mathematicized with less quantitative information, thus providing a simple decision-making method for complex decision-making problems with multi-objectives, multi-criteria or no structural characteristics. It is especially suitable for situations where it is difficult to directly and accurately measure the decision-making results. The steps of analytic hierarchy process are as follows:
(1) Through in-depth understanding of the system, determine the overall goal of the system, find out the scope involved in planning decision-making, the measures and policies that need to be taken, the criteria, strategies and various constraints for achieving the goal, and collect information extensively.
(2) Establish a multi-level hierarchical structure, and divide the system into several levels according to different goals and different functions. For example, figure 16-7 shows the general structure of prosperity in a country in terms of hierarchy.
(3) Determining the degree of correlation between adjacent layered elements in the layered structure. By constructing two mathematical methods of comparative judgment matrix and matrix operation, the importance order of related elements at this level-relative weight value is determined for an element at the previous level.
(4) Calculate the comprehensive weight of each layer of elements to the system goal, and make a general ranking to determine the importance of each element at the bottom of the hierarchy diagram in the overall goal.
(5) According to the analysis and calculation results, consider the corresponding decisions.
The whole process of analytic hierarchy process embodies the basic characteristics of people's decision-making thinking, that is, decomposition, judgment and synthesis, easy to learn and use, and the combination of qualitative and quantitative is convenient for decision makers to communicate with each other. It is a very effective system analysis method, widely used in economic management planning, energy development and utilization and resource analysis, urban industrial planning, talent prediction, transportation, water resources analysis and utilization and other fields.
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