DISTINGUISHING COEFFICIENT DRIVEN SENSITIVITY ANALYSIS OF GRA MODEL FOR INTELLIGENT DECISIONS: APPLICATION IN PROJECT MANAGEMENT

The Distinguishing Coefficient (ξ) is an important parameter of Grey Relational Analysis (GRA),

a flagship multi-criteria decision making (MCDM) model of Grey System Theory, an intelligent and multifaceted field

developed by Chinese scientists in 1980s. However, the scholars widely assume ξ = 0.5. The current study questions

this practice. Also, some scholars have argued that the variation in ξ doesn’t influence the ranking of the factors

through GRA. On contrary, the study demonstrates, the variation in ξ can influence the ranking. This has been shown

through a case involving primary data concerning the perceived relative importance of Project Management Knowledge

Areas (PMKAs). This study is significant for the analysts of uncertain systems, represented by grey or fuzzy systems,

who intend to use GRA for intelligent multi-criteria decision making. It encourages ξ – driven sensitivity analysis

of GRA model before interpreting the results. The study reveals, by tailoring the value of ξ a point can be achieved

where the ranking obtained through GRA can be made most comparable to the other MCDM methods. For comparative analysis

of the GRA based results the study deployed three other MCDM techniques; Analytic Hierarchy Process, Best Worst Method

and Simple Additive Weighting.