Site Selection Method, Multi Criteria Decision Making.

1. Brown & Gibson Model

2. About Brown & Gibson Model
•This model is elaborate & considers three classes
of site location factors:
• Critical… e.g. water for refinery, Coal deposits for Energy,
market for retail stores
• Objective … e.g. labour costs, raw material costs, Taxes.
• Subjective…e.g. recreational facilities, union activities,
Labour quality, Educational facilities, Nearness to
Port/city/market, quality of life, Geographical climate.
•For each site ‘I’ a location measure LM is defined

3. • In order to ensure compatibility between objective & subjective
factor measures, objective factor costs are converted to
dimensionless indices.
• The rationale is:
• site with minimum cost must have the maximum measure
• Relationship of total objective factor cost & corresponding
objective factor measure must be maintained, a site with half
the objective factor cost is assigned twice the objective factor
measure of the other site.

4. • For each plant site I a location measure is calculated :-
• CFMI specifies the measure of critical factors for the plant site I
• OFMI specifies the measure of objective factors for the plant site I
• SFMI specifies the measure of subjective factors for the plant site I
• D specifies the objective factor decision weight
Formula

5. • The sum of objective factor measure for all sites must equal to
1
• The subjective factor measure is given by:
• SFMI = (SFWJ * SWIJ )
• Where SFWJ signifies the weight of factor J relative to all
subjective factors and
• SWIJ signifies the weight of plant site I relative to all potential
plant sites for subjective factor J

6. Problem

8. n!/2(n-2)! Comparisons
Ex: Here 4 factors. Hence 4!/2(4-2)!
=4x3x2x1/2x2x1
= 6 comparisons
Paired Comparisons:
Row1: 0,0,1
Factors compared: City Proximity with Industrial
Relations, Environmental Problems and State
Government Support respectively
Row2:0,0,0
Factors compared: Industrial relations with City
Proximity, Environmental Problems and State
Government support respectively
Row3: 1,1,0
Factors compared: Environmental Problems with
City Proximity, Industrial Relations, and State
Government Support respectively
Row4: 1,1,1
Factors compared: State Government Support with
City Proximity, Industrial Relations, and
Environmental Problems respectively
• 0 represents one factor is inferior to other
• Ex: Row1: City proximity with Environmental
Problems
• 1 represents one factor is superior to other
• Ex: Row 3: Environmental Problems with City
Proximity
• 1 sometimes also represents one factor is equal to
other
• Ex: In Row 1 City Proximity with State
Government Support, In Row 4 State
Government Support with City Proximity
• 0,0 means no comparison
• Ex: as of Industrial relations and City Proximity.

9. •Which is Best
Choice of the
Site?

10. Critical and Objective Factors

11. Subjective Factors

12. Location Measure