The optimal project selection in portfolio management using fuzzy multi-criteria decision-making methodology

The main purpose of the paper is to provide and apply the concept and techniques of multi-criteria decision-making under fuzzy environment in the prioritization and selection of projects in a portfolio management. In this study, the preference weights of the criteria were identified using fuzzy AHP. Then, the weights are embraced in fuzzy TOPSIS to improve the gaps of projects (alternatives) to achieve the organization objectives as well as interactions between projects. Twenty Iraqi Oil Company projects were evaluated against five key criteria. The results showed that in fuzzy TOPSIS technique the measurement of criteria weights is important and they could adjust the ranking for other projects as well as figure out the best project to achieve the desired levels. This research as expected will serve as a helpful tool for stakeholders in improving the quality level of portfolio management projects.

Automated summary

This paper introduces the concept and techniques of multi-criteria decision-making under a fuzzy environment in the prioritization and selection of projects in portfolio management. The results demonstrate the importance of measuring criteria weights in fuzzy TOPSIS technique for ranking and selecting projects.