1. GOAL PROGRAMMING FORMULATION
The formulation of GP model is similar to that of LP
model.The general model can be stated as follows: Goal
Programming: An Application to Operating Cost
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39 Minimize: z = ∑i wi ( di - + di + ) ; i = 1, 2, …, m
Subject To: ∑j aij + di - - di + = bi ; i = 1, 2, …, m, j =
1, 2, …., n and xj , di - , di + ≥ 0 ; for all i, j where, bi =
m-component column expressing m goals aij =
coefficient for the jth decision variable in the ith
constraint xj = decision variable wi = weights of each
goal di - = deviational variable representing the amount
of under-achievement of ith goal di + = deviational
variable representing the amount of over-achievement
of ith goal In case, goals are classified in k ranks, the
pre-emptive priority factors (P1, P2, …. and so on)
should be assigned to deviational variables di - and di +
according to their order of importance. 9. BASIC
STEPS IN FORMULATING THE MODEL: The basic
steps involved in formulating a goal programming
model are as follows: • Determine decision variables
(the x’s) • Determine the deviational variables (the d+ s
and d- s) • Specify the goals • Determine the pre-
2. emptive priorities and assign weights • State the
objective functions of the deviation to be minimized.
implementation of the Analytic Hierarchy Process
(AHP) in solving problems in the area of transport. The
transport sector is currently one of the most important
sectors, and an efficient transport system requires
continuous planning. Investments in transport
infrastructure are projects that have specific
characteristics. These projects have an extremely long
lifetime (some thirty years), are not profit-oriented, are
usually financed by the state of the local administration,
and are primarily for social use. The decision-making
process, which includes making decisions on
investments, is extremely complex. The decision-maker
has to envisage the future, and consequently make
decisions in a modern and flexible manner. The
methods used in the process of evaluating the
investment projects in transport are numerous and
usually distinguished by the optimization criteria. The
projects can be evaluated through the prism of a single
criterion or several criteria. The most common
optimization criterion is the economic system; however,
long-term and high-quality solutions require the
introduction of other optimization criteria such as
technological, technical, ecological and many others.
Therefore, in such situations it is essential to implement
3. multi-criteria decision methods which will eventually
result in making the optimal decision. It will be
determined in the paper to what extent the AHP method
is implemented regarding transport problems and for
which categories of transport problems.