Use of the Analytical Hierarchy Process as a Source Selection Methodology and Its Potential Application within the Hellenic Air Force; Master's thesis

摘要

This thesis assesses the feasibility of using the Analytical Hierarchy Process (AHP) as a dynamic tool for decision-making in defense acquisition. The gradual reductions in defense budgets, the need for efficient allocation of funds among competitive activities, the demand from public opinion for rationality, transparency and efficiency in defense spending, the complicated legislation concerning procurements, all call for changes in the way officials make decisions. The AHP is a multiattribute decision-making technique, developed by Thomas Saaty to support users with complex decision- making by combining their experience, judgment, and intuition with a view to selecting the best course of action from a number of alternatives. Literature suggests that the AHP is suitable for a wide variety of applications in economics, finance, politics, games and sports, conflict resolution, cost/benefit analyses, resource allocation, source selection, and resolution of everyday problems. This study focuses on the potential use of the AHP for combat aircraft source selection by the Hellenic Air Force, analyzing legislative, acquisition and technical issues relating to this procurement. It concludes that AHP is a suitable decision making tool for defense acquisitions and recommends the Hellenic Air Force evaluate its potential usefulness via a series of pilot acquisition programs.