Operational Competitiveness Rating
OCRA (Operational Competitiveness Rating) is a ranking multi-criteria decision-making (MCDM) method introduced by Parkan, C. in 1994. It turns a decision matrix of alternatives scored on multiple criteria into a structured, reproducible result.
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Method map
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When to use it
P_i ≥ 0 (the minimum always equals 0 by construction). Higher P means better overall operational competitiveness. OCRA naturally separates input (cost) and output (benefit) criteria, making it intuitive for production/efficiency evaluation where inputs are resources consumed and outputs are products/services delivered.
Strengths & limitations
- Follows a transparent, reproducible computational procedure that can be audited step by step.
- Handles multiple criteria of differing scales and units within a single decision matrix.
- Assumes full compensation — a strong score on one criterion can offset a weak score on another.
Sources
- Parkan, C. (1994). Operational competitiveness ratings of production units. Managerial and Decision Economics DOI: 10.1002/mde.4090150303 ↗
How to cite this page
ScholarGate. (2026, June 2). Operational Competitiveness Rating. ScholarGate. https://scholargate.app/en/decision-making/ocra
Which method?
Set this method beside its closest kin and read them side by side — the library lays the books on the table; the choice is yours.
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