MCDA stands for Multi-Criteria Decision Analysis. It is a decision-making approach that involves evaluating alternatives based on multiple criteria or factors. MCDA aims to provide a structured and systematic way to support decision-making processes that involve complex and diverse criteria.
In MCDA, decision-makers identify the relevant criteria for their decision problem and establish a set of alternatives to be evaluated. Each alternative is then assessed against the different criteria, which can be qualitative or quantitative.
There are various methods and techniques that can be used to perform MCDA, such as the Weighted Product Model, Analytic Hierarchy Process (AHP), and the Technique for Order Preference by Similarity to Ideal Solution (TOPSIS), among others. These methods involve assigning weights to criteria, establishing preferences, and aggregating criteria scores to arrive at an overall assessment of the alternatives.
MCDA can be used in a wide range of decision-making contexts, such as resource allocation, project selection, policy analysis, and risk management. It can help to improve the quality of decisions, reduce subjectivity and bias, and provide a transparent and traceable decision-making process.