Applying Utility Theory in Uncertain Project Environments with Multiple Goals

Document Type

Article

Publication Date

1-1-2016

Journal / Book Title

International Journal of Applied Decision Sciences

Abstract

In project environments, normally, multiple conflicting goals are being incorporated for decision making which associated with uncertain and incomplete information. The main purpose of the project management process is to minimise total project cost and completion time simultaneously; however these affecting factors in project management are conflicting objectives and those have to be efficiently compromised. Going through literature indicated utility theory has not been previously applied in project management environment while deeply incorporated through economics sciences. This study applies the utility theory through solving cost and time trade-off problems in uncertain environments. Here, considering decision maker's (DM) preferences, cost and time utility functions are then determined. Further, the overall utility function has to be optimised. Since the proposed function appropriately assessed, the best decision is being made and maximum satisfaction for DM is reached.

DOI

10.1504/IJADS.2016.080125

Published Citation

Safari, M., Bagherpour, M., & Wang, J. (2016). Applying utility theory in uncertain project environments with multiple goals. International Journal of Applied Decision Sciences, 9(2), 196-211.

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