Technique for Order of Preference by Similarity to Ideal Solution
TOPSIS (Technique for Order of Preference by Similarity to Ideal Solution) is a ranking multi-criteria decision-making (MCDM) method introduced by Hwang, C. L., Yoon, K. in 1981. It turns a decision matrix of alternatives scored on multiple criteria into a structured, reproducible result.
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When to use it
C* ∈ [0,1]. Higher C* means the alternative is closer (in weighted Euclidean distance) to the positive-ideal A⁺ and farther from the anti-ideal A⁻. Rank alternatives in descending C* order.
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.
- May exhibit rank reversal when alternatives are added to or removed from the set.
- Assumes full compensation — a strong score on one criterion can offset a weak score on another.
Sources
- Hwang, C. L., Yoon, K. (1981). Multiple Attribute Decision Making: Methods and Applications — A State-of-the-Art Survey. Lecture Notes in Economics and Mathematical Systems, Vol. 186, Springer-Verlag DOI: 10.1007/978-3-642-48318-9 ↗
How to cite this page
ScholarGate. (2026, June 2). Technique for Order of Preference by Similarity to Ideal Solution. ScholarGate. https://scholargate.app/en/decision-making/topsis
Which method?
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