Multicriteria and Statistical Approach to Support the Outranking Analysis of the OECD Countries
Since 2011, the Organization for Economic Co-operation and Development (OECD) has maintained the Better Life Initiative, which proposes a quality-of-life index called Better Life Index (BLI), consisting of 11 dimensions. This paper presents a multivariate analysis approach that aims to reduce the BL...
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| Format: | Article |
| Language: | English |
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IEEE
2022-01-01
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| Series: | IEEE Access |
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| Online Access: | https://ieeexplore.ieee.org/document/9810236/ |
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| author | Daniel Augusto De Moura Pereira Marcos Dos Santos Igor Pinheiro De Araujo Costa Miguel Angelo Lellis Moreira Adilson Vilarinho Terra Claudio De Souza Rocha Junior Carlos Francisco Simoes Gomes |
| author_facet | Daniel Augusto De Moura Pereira Marcos Dos Santos Igor Pinheiro De Araujo Costa Miguel Angelo Lellis Moreira Adilson Vilarinho Terra Claudio De Souza Rocha Junior Carlos Francisco Simoes Gomes |
| author_sort | Daniel Augusto De Moura Pereira |
| collection | DOAJ |
| description | Since 2011, the Organization for Economic Co-operation and Development (OECD) has maintained the Better Life Initiative, which proposes a quality-of-life index called Better Life Index (BLI), consisting of 11 dimensions. This paper presents a multivariate analysis approach that aims to reduce the BLI dimensions. For this purpose, we applied factor extraction by main components to reorganize BLI variables into three dimensions (factors): dimension 1 - personal development and support factors; dimension 2 - financial balance; and dimension 3 - insecurity with the labor market. These three factors were used as criteria for the PROMETHEE-SAPEVO-M1 multicriteria method. We applied the methodology to data from 38 countries (35 from OECD and 3 non-OECD economies). As a result, we verified that Denmark, Iceland and Switzerland stood out as the countries with the best performances after the proposed analysis. Among the 38 countries evaluated, 19 showed positive flows, allowing the distribution into two well-defined groups. Also, adopting this hybrid methodology of multivariate analysis and multicriteria was advantageous because it reduced the evaluation criteria that the decision-maker needs to evaluate. We compared the results obtained by PROMETHEE-SAPEVO-M1 with the <italic>ViseKriterijumska Optimizacija</italic> <inline-formula> <tex-math notation="LaTeX">$i$ </tex-math></inline-formula> <italic>Kompromisno Resenje</italic> (VIKOR) and <italic>Elimination Et Choix Traduisant la Realité</italic>- Multicriteria Ordinal (ELECTRE-MOr) methods, with remarkably similar results. The main contribution of this study is to provide a hybrid methodology composed of a statistical structuring approach (factor analysis) in a problem with multiple conflicting criteria. After all, the approach proposed in this article represented a 94% reduction in the decision maker’s cognitive effort. |
| first_indexed | 2024-04-11T09:26:25Z |
| format | Article |
| id | doaj.art-018a6301dad84478803708c248a1a1fa |
| institution | Directory Open Access Journal |
| issn | 2169-3536 |
| language | English |
| last_indexed | 2024-04-11T09:26:25Z |
| publishDate | 2022-01-01 |
| publisher | IEEE |
| record_format | Article |
| series | IEEE Access |
| spelling | doaj.art-018a6301dad84478803708c248a1a1fa2022-12-22T04:32:01ZengIEEEIEEE Access2169-35362022-01-0110697146972610.1109/ACCESS.2022.31870019810236Multicriteria and Statistical Approach to Support the Outranking Analysis of the OECD CountriesDaniel Augusto De Moura Pereira0https://orcid.org/0000-0002-7951-6098Marcos Dos Santos1https://orcid.org/0000-0003-1533-5535Igor Pinheiro De Araujo Costa2https://orcid.org/0000-0001-9892-6327Miguel Angelo Lellis Moreira3https://orcid.org/0000-0002-5179-1047Adilson Vilarinho Terra4Claudio De Souza Rocha Junior5https://orcid.org/0000-0003-1760-2553Carlos Francisco Simoes Gomes6https://orcid.org/0000-0002-6865-0275Production Engineering Department, Federal University of Campina Grande (UFCG), Campina Grande, Paraíba, BrazilSystems and Computing Department, Military Institute of Engineering (IME), Rio de Janeiro, BrazilNaval Systems Analysis Centre, Rio de Janeiro, BrazilNaval Systems Analysis Centre, Rio de Janeiro, BrazilNaval Systems Analysis Centre, Rio de Janeiro, BrazilProduction Engineering Department, Federal Fluminense University, Rio de Janeiro, BrazilProduction Engineering Department, Federal Fluminense University, Rio de Janeiro, BrazilSince 2011, the Organization for Economic Co-operation and Development (OECD) has maintained the Better Life Initiative, which proposes a quality-of-life index called Better Life Index (BLI), consisting of 11 dimensions. This paper presents a multivariate analysis approach that aims to reduce the BLI dimensions. For this purpose, we applied factor extraction by main components to reorganize BLI variables into three dimensions (factors): dimension 1 - personal development and support factors; dimension 2 - financial balance; and dimension 3 - insecurity with the labor market. These three factors were used as criteria for the PROMETHEE-SAPEVO-M1 multicriteria method. We applied the methodology to data from 38 countries (35 from OECD and 3 non-OECD economies). As a result, we verified that Denmark, Iceland and Switzerland stood out as the countries with the best performances after the proposed analysis. Among the 38 countries evaluated, 19 showed positive flows, allowing the distribution into two well-defined groups. Also, adopting this hybrid methodology of multivariate analysis and multicriteria was advantageous because it reduced the evaluation criteria that the decision-maker needs to evaluate. We compared the results obtained by PROMETHEE-SAPEVO-M1 with the <italic>ViseKriterijumska Optimizacija</italic> <inline-formula> <tex-math notation="LaTeX">$i$ </tex-math></inline-formula> <italic>Kompromisno Resenje</italic> (VIKOR) and <italic>Elimination Et Choix Traduisant la Realité</italic>- Multicriteria Ordinal (ELECTRE-MOr) methods, with remarkably similar results. The main contribution of this study is to provide a hybrid methodology composed of a statistical structuring approach (factor analysis) in a problem with multiple conflicting criteria. After all, the approach proposed in this article represented a 94% reduction in the decision maker’s cognitive effort.https://ieeexplore.ieee.org/document/9810236/Better life indexELECTRE-MOrfactor analysisPROMETHEE-SAPEVO-M1VIKOR |
| spellingShingle | Daniel Augusto De Moura Pereira Marcos Dos Santos Igor Pinheiro De Araujo Costa Miguel Angelo Lellis Moreira Adilson Vilarinho Terra Claudio De Souza Rocha Junior Carlos Francisco Simoes Gomes Multicriteria and Statistical Approach to Support the Outranking Analysis of the OECD Countries IEEE Access Better life index ELECTRE-MOr factor analysis PROMETHEE-SAPEVO-M1 VIKOR |
| title | Multicriteria and Statistical Approach to Support the Outranking Analysis of the OECD Countries |
| title_full | Multicriteria and Statistical Approach to Support the Outranking Analysis of the OECD Countries |
| title_fullStr | Multicriteria and Statistical Approach to Support the Outranking Analysis of the OECD Countries |
| title_full_unstemmed | Multicriteria and Statistical Approach to Support the Outranking Analysis of the OECD Countries |
| title_short | Multicriteria and Statistical Approach to Support the Outranking Analysis of the OECD Countries |
| title_sort | multicriteria and statistical approach to support the outranking analysis of the oecd countries |
| topic | Better life index ELECTRE-MOr factor analysis PROMETHEE-SAPEVO-M1 VIKOR |
| url | https://ieeexplore.ieee.org/document/9810236/ |
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