Chapter 4. Sensitivity Analysis Using Lineal Programming Shadow Prices to Support Stakeholders in the Decision Process – The SIMUS-IOSA Method


Nolberto Munier1 and Claudia Carignano2
Valencia Polytechnic University, Spain, Camino de Vera, Valencia, España
2Universidad Nacional de Córdoba, Argentina, Ciudad de Valparaíso, Córdoba, Argentina

Part of the book: Advances in Business and Management. Volume 20


Sensitivity analysis, a fundamental technique in MCDM process has received little attention from scholars and researchers, opinion that is shared by other academics as can be confirmed by examining the literature on MCDM. Even if there are a fair number of papers, very few propose improvements to the method. The same procedure devised decades ago is still used today as no new developments have been recorded. This work draws attention on the shortcomings of the current system and refers to papers that support our claim and that provide a deeper analysis of some of them. For this reason, we believe that there is a need for a new paradigm in performing sensitivity analysis. Consequently, it proposes a new methodology that tries to overcome those drawbacks; it is illustrated with an example and the corresponding discussion. This methodology is innovative since it addresses sensitivity analysis in a way never tackled before, since it is entirely different to the present method, not only in the process and data management but especially in the wealth of the reporting.


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