THE DECISION MAKING PROCESS IN CONSTRUCTION PROJECT MANAGEMENT BY USING THE ELECTRE I METHOD.

Abstract

The decision making process is essential in managing successful organizations. In conditions of certainty, the Electre I method is a tool which provides accurate resultsif an opportunity occurs. The construction sector in Romania is in real expansion, therefore the civil engineering companies face a real problem: many possible contracts, but not enough resources for all. The present paper aims to demonstrate the fact that, using historical data, an organization may decide from some variants, by outranking the possible portfolio projects. The main hypothesis is that Electre Iwill help the construction companies` managers to make proper decisions. We surveyed 20 companies specialized in civil engineering, asking them to choose between 4 projects, only by analyzing data. 85% of them have chosen the wrong variants. For ranking the same criteria for all projects, the Analytic Hierarchy Process was used. After computing the data using the Electre I algorithm, we could outrank the projects correctly. Therefore the hypothesis was validated. The limitation of the study is the number of subjects and the reference to Transylvania region, a part of Romanian territory.